UPDATED with internal memo: Paramount Global’s co-CEOs told employees Friday that they expect an August 7 closing date for the company’s merger with Skydance, praising staffers’ efforts during the grueling process of getting the deal done.
The companies had earlier confirmed the expected closing date, which follows an epic, years-long effort to sell the home of Paramount Pictures and CBS.
In a memo obtained by Deadline, co-CEOs George Cheeks, Chris McCarthy and Brian Robbins wrote that despite all of the turbulence, “Paramount has made great progress – none greater than over the past year. We truly have momentum as a company and that’s a testament to you, our talented teams, with your incredible ability to deliver hit shows and blockbuster films, and all the critical pieces that make those things happen behind the scenes from BALA, finance, HR, communications, marketing, technology, distribution, partnerships, sales, consumer products, government relations and more – even in the context of a rapidly evolving landscape.”
The trio acknowledged that workers likely have questions, and they promised to offer updates in a timely fashion. The trio, elevated to the Office of the CEO after the ouster of Bob Bakish in the spring of 2024, called it “a great honor” to have led the company. Cheeks is slated to stay with the new company, while McCarthy and Robbins are departing.
“Collectively, we have been in the industry for decades and, like you, we have called Paramount our home and together we have seen the incredible evolution of the entertainment industry,” they wrote.
Here’s the full memo:
Hi Everyone,
We have some important news to share related to our Skydance merger. We received our final regulatory approval and we anticipate the Skydance merger will close (or be complete) on August 7th, subject to customary closing conditions.
This is a significant milestone for our entire global organization. We realize you will have many questions about the transition process, and we will provide updates as soon as the information becomes available to us.
Collectively, we have been in the industry for decades and, like you, we have called Paramount our home and together we have seen the incredible evolution of the entertainment industry. Through all of these changes, Paramount has made great progress – none greater than over the past year. We truly have momentum as a company and that’s a testament to you, our talented teams, with your incredible ability to deliver hit shows and blockbuster films, and all the critical pieces that make those things happen behind the scenes from BALA, finance, HR, communications, marketing, technology, distribution, partnerships, sales, consumer products, government relations and more – even in the context of a rapidly evolving landscape.
As we near the end of a historic chapter for Paramount and prepare for a new era, we want to thank you for your resilience, creativity and dedication. Because of you, Paramount is in a much better place today than it was a year ago, and it has been an honor to lead the company over the past year and work alongside you.
Best,
George, Chris and Brian
PREVIOUSLY, 4:55 p.m. PT: Paramount and Skydance have confirmed that their long-gestating merger is expected to finally close on August 7.
The date had been mentioned in recent days by sources familiar with the transaction, but the companies confirmed it Friday in a press release.
The $8 billion-plus transaction received the FCC’s blessing Thursday, effectively bringing an end to the year-long business saga. With that final hurdle cleared, only administrative details and paperwork are left to be completed before the combination can become finalized.
Along with the date, the companies said the new company will trade on the Nasdaq under the ticker symbol PSKY. Paramount had traded under PARA.
The companies also announced various deadlines for deadlines for Paramount stockholders of record and certain other Paramount stockholders to elect the form of consideration they wish to receive for their shares. Common shareholders will have the election deadline of 5 p.m. ET next Thursday, July 31. For shares of Paramount common stock held by current or former employees of Paramount, the election deadline is 4 p.m. ET on Monday, July 28.
Shareholders who do not make an election before the deadline will automatically receive stock in the new entity. The value on Paramount Class B shares stipulated in the merger agreement is $15.
Friday’s announcement filled in a couple of blanks, but there are many more questions looming as the two companies prepare to become one. The extent of further layoffs is top of mind for many, especially following a period of major downsizing. Also unclear is the fate of the company’s linear cable networks, which are still throwing off cash but declining markedly in terms of ratings and advertising due to ongoing cord-cutting.
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