Paramount Media Group Surges as Byron Allen Offers

Byron Allen offers to buy Paramount Global for $30 billion, causing stock to soar 26%. Company owns CBS, Comedy Central, Nickelodeon.

Byron Allen, the media mogul, has made a bold move by offering to take over Paramount Global, the owner of CBS, Comedy Central, Nickelodeon, and a Hollywood film studio, in a deal worth nearly $30 billion. This unsolicited bid from Allen Media Group has caused Paramount Global's stock to soar by over 26%.

The offer includes a $14.3 billion cash offer for the shares and the assumption of the company's $15 billion debt. The bid was made at $28.58 per voting 'A' share, which is more than a 50% premium to the recent trading price, and $21.53 for the nonvoting 'B' shares. As a result, Paramount Global's A shares rose by almost 26% to $24.15, while the B shares climbed 8% to $14.79.

According to Allen Media Group, "Mr. Byron Allen did submit a bid on behalf of Allen Media Group and its strategic partners to purchase all of Paramount Global's outstanding shares. We believe this $30 billion offer, which includes debt and equity, is the best solution for all of the Paramount Global shareholders, and the bid should be taken seriously and pursued."

Byron Allen, who began his career as a stand-up comedian and is known for his work on the "Real People" reality series, is the founder and CEO of Entertainment Studios, now known as Allen Media Group. The company owns television channels, digital platforms, and produces and distributes films, TV shows, and online content. Its diverse assets include The Weather Channel, a syndicated TV content business, and several local TV stations.

This move comes after Allen's company was previously in the running to acquire BET Media Group, which includes the BET channel and VH1, from Paramount. While that deal did not materialize, it's clear that Allen has his sights set on expanding his media empire.