Skydance boss David Ellison tells Hollywood pals that Paramount merger will close before end of summer: sources

New York Post

6 hours ago

Skydance Media boss David Ellison has been striking an upbeat tone in his quest to purchase Shari Redstone's Paramount, On The Money has learned.
The budding movie mogul's quiet confidence to media insiders in recent days may seem a bit odd for regular readers of On The Money. We've been chronicling how the $8 billion deal faces significant headwinds from the Trump administration's regulatory apparatus, and the president's own legal team.
Not according to Ellison, however. In fact, the son of billionaire Oracle founder Larry Ellison has been telling people in TV and movie circles out in Los Angeles that he believes the deal will go through before the end of summer – well before its drop-dead date in October when both sides need to walk away if the deal isn't completed, according to two sources with direct knowledge of the matter.
4 David Ellison, the son of billionaire Oracle founder Larry Ellison, has been telling people in TV and movie circles out in Los Angeles that he believes the deal will go through before the end of summer.
AFP via Getty Images
It's unclear exactly why Ellison – whose independent studio has produced hits like 'Top Gun: Maverick' and the latest 'Mission: Impossible' sequels – is so optimistic because much of the news surrounding the transaction has been anything but encouraging.
Trump's regulators are stalling their mandatory approval as they investigate if Paramount's CBS News subsidiary violated Federal Communications Commission guidelines that its content must be free of political bias; conservatives have complained about CBS's left-wing bias for years – a charge the network has vehemently denied.
Trump has also filed a $20 billion lawsuit against CBS in Texas federal court, charging the network's '60 Minutes' with violating an obscure state business law in a case involving its controversial interview with Kamala Harris during the 2024 presidential election. Trump claims the sit-down with his Democratic opponent was deceptively edited. Paramount believes the deal's regulatory approval is contingent on a settlement.
Yet, as On The Money previously reported, Redstone's management team and board are worried about being on the hook for bribery charges if the payment is seen as a quid-pro-quo to get the deal done. That's because their boss, Redstone, would receive a $2 billion payout once the merger is complete.
4 Trump's regulators are stalling their mandatory approval as they investigate if Paramount's CBS News subsidiary violated Federal Communications Commission guidelines that its content must be free of political bias.
Al Drago/UPI/Shutterstock
But maybe Ellison knows something we don't know. Both sides in the lawsuit have recently held settlement discussions, On The Money has learned. They've discussed a payment of $35 million to end the lawsuit, a far cry from the $20 billion headline number and lower than the $50 million Team Trump originally sought.
As On The Money has reported, a potential settlement has been discussed where CBS runs millions of dollars in public service ads for causes of the president's liking, such as combating antisemitism, as well as making a lower cash payment.
Sources say the mediator has warmed up to the idea of PSAs and a smaller monetary payment than what Trump has sought. But it's unclear if Trump will agree to those terms.
4 Shari Redstone would receive a $2 billion payout once the merger is complete.
REUTERS
'President Trump is committed to holding those who traffic in fake news, hoaxes, and lies to account,' Trump lawyer Ed Paltzik told On The Money on Wednesday.
'CBS and Paramount targeted the president in an attempt to harm his reputation while committing the worst kind of election interference and fraud in the closing days of the most important presidential election in history. President Trump will pursue this vital matter to its just and rightful conclusion.'
A Paramount spokesman had no comment. A spokeswoman for David Ellison declined comment.
Trump recently praised the Oracle scion as someone who will be great running Paramount, and would change the culture at CBS, or as Trump put it (in his usual understated way): 'They are all getting fired' when ownership changes.
4 Trump recently praised the Oracle scion as someone who will be great running Paramount, and would change the culture at CBS.
Christopher Sadowski
David Ellison's dad, Larry Ellison is supplying the money (some of his $250 billion in net worth) for the Paramount merger, and as reported, he has an open line to the White House given his relationship with the president.
Media industry insiders say there could also be a scenario where the deal is approved before the lawsuit is settled. Ellison then could write Trump the check after he takes over at Paramount.
Or maybe Paramount is ready to just bite the bullet and pay Trump close to what he wants. Legal experts say any bribery case would be a stretch in court. Trump has been wringing settlements out of other companies over similar squabbles, and Paramount could make the case that even paying Trump $50 million is less than the cost of litigation.
So, there might be good reasons for David Ellison's optimism that he will bag both a major movie studio and the Tiffany Network.