Activist Ancora Joins the Fight for Warner
Watch on YouTube ↗  |  February 12, 2026 at 16:52 UTC  |  1:39  |  Bloomberg Markets
Speakers
Michelle Davis — Reporter

Summary

  • Activist investor Ancora has acquired a stake (<1%) in Warner Bros. Discovery (WBD) to agitate against a pending merger deal with Netflix.
  • Ancora is pushing WBD to engage with Paramount (PARA), arguing for a better strategic fit or offer.
  • Paramount has sweetened its offer to $30/share, including covering a $2.8 billion breakup fee WBD would owe Netflix and adding a $0.25/share quarterly delay penalty if the deal extends past Dec 31.
Trade Ideas
Ticker Direction Speaker Thesis Time
WBD
LONG Michelle Davis
Reporter, Bloomberg 		Activist investor Ancora has built a stake in WBD and is threatening to replace the board if they do not engage with Paramount for a better offer. Activist involvement typically unlocks shareholder value by forcing management to negotiate higher acquisition prices or better deal terms. The existence of a competing bidder (Paramount) with a specific price floor ($30/share) puts upward pressure on the stock. LONG. The competitive tension between Netflix and Paramount, catalyzed by Ancora, creates a bidding war dynamic favorable to WBD shareholders. Ancora holds less than 1% and may lack voting power to force change; the Netflix deal might close regardless of agitation. 0:00
NFLX
WATCH Michelle Davis
Reporter, Bloomberg 		WBD currently has a deal with Netflix that includes a $2.8 billion breakup fee if WBD walks away. If Ancora succeeds and WBD breaks the deal to go with Paramount, Netflix loses the acquisition target but receives a massive $2.8B cash injection (breakup fee). WATCH. The loss of the strategic asset is a negative, but the cash infusion is a significant cushion. Deal failure could signal slowing growth/consolidation options for Netflix. 0:04
PARA
LONG Michelle Davis
Reporter, Bloomberg 		Paramount reaffirmed a $30/share offer and added concessions: paying WBD's $2.8B breakup fee to Netflix and offering a $0.25/share ticker for closing delays. Paramount is aggressively signaling confidence and financial commitment to win the deal. If Ancora succeeds in pivoting WBD toward Paramount, PARA becomes the acquirer or merger partner in a potentially transformative consolidation. LONG (or WATCH depending on deal structure). The aggressive terms suggest Paramount is desperate to close, which could be bullish for the sector consolidation thesis. If WBD sticks with the Netflix deal, Paramount is left without a partner; regulatory hurdles could block the deal (though PARA is confident). 0:04