Larry Ellison to be controlling Paramount shareholder after Skydance merger

Larry Ellison

US billionaire Larry Ellison will be the controlling shareholder in Paramount Global once it is acquired by his son David’s Skydance Media, according to a regulatory filing.

The 488-page document, filed with the US Federal Communications Commission (FCC), revealed that the older Ellison, who is the co-founder of US computer software firm Oracle Corporation, will own 77.5% of Paramount’s parent company National Amusements Inc (NAI) through a trust and several corporations, assuming the deal goes through.

The other 22.5% will be owned by Gerry Cardinale, founder of private equity firm RedBird, the other company backing the Skydance takeover deal and the joint parent of All3Media.

New York-headquartered Paramount Global is the owner of assets including US broadcaster CBS, cable networks and brands such as Nickelodeon, MTV and BET, streaming services Paramount+ and Pluto TV and international linear channels such as Channel 5 in the UK and Australia’s Network 10.

The document was filed with the FCC as the US$8bn deal involves the transfer of broadcast licences.

Under the deal, which was unveiled in July, Skydance will invest around US$2.4bn to acquire NAI for cash and US$4.5bn for the stock/cash merger consideration to be paid for publicly traded Class A shares and Class B shares. Skydance will also invest around US$1.5bn to help improve Paramount’s balance sheet.

The transaction is expected to close in the first half of 2025, with the new company to be named New Paramount. The entity will be led by David Ellison, who will serve as chairman and CEO and have operational control of the merged business, while Jeff Shell, the former NBCUniversal CEO who is currently chairman of sports and media at RedBird Capital, will be president.