Warner Bros. Discovery CEO David Zaslav set to receive up to $887 million if Paramount deal closes

For successfully navigating 1 of the hottest media M&A deals successful years, Warner Bros. Discovery (WBD) CEO David Zaslav is acceptable to beryllium paid up to astir $886.8 cardinal if Paramount Skydance (PSKY) closes its acquisition of the storied movie workplace and streaming platform, according to regulatory filings published connected Monday.

If the woody closes, Zaslav volition person $517.2 cardinal successful equity that would trigger if and erstwhile the merchantability goes through, on with astir $34.2 cardinal successful cash, and $44.2 cardinal successful benefits tied to the worth of wellness sum reimbursement. The Warner Bros. CEO volition besides get astir $335.4 cardinal successful taxation reimbursements. 

Just earlier the extremity of February, Warner Bros. agreed to a afloat acquisition by Paramount Skydance astatine $31 per stock successful a woody valued astatine astir $110 billion.

The announcement brought to a adjacent a multi-year, high-stakes conflict betwixt Paramount and streaming elephantine Netflix (NFLX) for power of Warner Bros., during which some sides offered progressively amended terms.

Paramount banal has fixed up each of its gains since the announcement of the deal, trading down much than 10% connected the month. On the different broadside of the bidding war, Netflix — whose banal popped aft it announced its volition to measurement distant from the proceedings — is up astir 25% implicit the past month.

Shares successful Warner Bros. person mislaid astir 4% implicit the aforesaid period.

Under the presumption of the deal, Paramount volition afloat get some the studios, streaming, and linear TV divisions of Warner Bros. Netflix, by contrast, had projected an acquisition of Paramount's studios and streaming concern successful a woody worthy astir $82.7 cardinal astatine $27.75 per share, with plans to rotation the linear TV assets disconnected into a abstracted nationalist company.

To get Paramount's acquisition crossed the table, Oracle (ORCL) laminitis and main exertion serviceman Larry Ellison — whose son, David, runs Paramount — agreed to personally backstop $40 cardinal successful equity financing arsenic an assurance to Warner Bros. stakeholders who expressed interest that Paramount wasn't capitalized capable to get the woody crossed the decorativeness line.

Zaslav, who anterior to moving WBD was the CEO of Discovery earlier its merger with WarnerMedia, emerged arsenic a cardinal dealmaker passim the process.

Other Warner Bros. Discovery executives are acceptable to person aureate parachutes if the woody with Paramount closes.

Gunnar Wiedenfels, the main fiscal serviceman of WBD, is acceptable to person up to astir $120 cardinal successful full compensation.

Chief gross serviceman Bruce Campbell and streaming and games CEO Jean-Briac Perrette are acceptable to person up to $121.5 cardinal and $142 million, respectively. President of planetary Gerhard Zeiler volition person up to $82.6 million.