Warner Bros. Discovery (WBD) said Tuesday it has launched “a review of strategic alternatives” following what it said was “unsolicited” interest from multiple parties for both the entire company and its Warner Bros. studio division.
Shares, as a result, were up more than 11% in midday trading.
According to a statement, the media giant said the board will evaluate a range of options, including completing its planned split into two independent companies, Warner Bros. and Discovery Global, or pursuing a sale of all or parts of the business.
The separation, first announced earlier this year, remains on track for completion by mid-2026.
Separately, WBD also announced Tuesday that it is raising prices across all HBO Max subscription tiers, marking the second price hike in less than two years.
The ad-supported plan will rise $1 to $10.99 a month, while the standard and premium plans will climb $1.50 and $2, respectively. The increases take effect immediately for new users, with existing subscribers seeing the new rates after Nov. 20.
The latest price increases underscore Warner Bros. Discovery’s push to boost profitability across its streaming division as it evaluates next steps for the broader company.
“We continue to make important strides to position our business to succeed in today’s evolving media landscape by advancing our strategic initiatives, returning our studios to industry leadership, and scaling HBO Max globally,” Warner Bros. Discovery CEO David Zaslav said in the release.
“It’s no surprise that the significant value of our portfolio is receiving increased recognition by others in the market,” he added. “After receiving interest from multiple parties, we have initiated a comprehensive review of strategic alternatives to identify the best path forward to unlock the full value of our assets.”
The announcement comes just weeks after reports emerged that Paramount Skydance (PSKY), the David Ellison–backed company that recently completed its takeover of Paramount, submitted a majority-cash bid for the company, a move analysts said at the time could ignite a Hollywood bidding war and reshape the global streaming landscape.
Paramount Skydance has been eyeing all of Warner Bros. Discovery’s assets, from HBO and CNN to the Warner Bros. studio lot, in a bid to boost its scale in streaming and advertising. Analysts have estimated the combination could create a top-five global player with roughly 200 million streaming subscribers and as much as $20 billion in annual TV ad revenue.
