Warner Bros

WBD

Market cap $69B

A group of 12 states sued Paramount Skydance Corp. Monday seeking to block its $110 billion bid to buy Warner Bros. Discovery Inc., alleging the blockbuster Hollywood deal would leave viewers with higher prices and fewer choices for movies and television.

U.S. states suing to block Paramount's PSKY.O merger with Warner Bros Discovery argue that the deal could squeeze local movie theaters, which are still struggling to ​sell as many tickets as they did before the pandemic.

Led by California, the states argue the deal is anticompetitive, would harm theaters and lead to price increases for TV bundles.

In the latest trading session, Warner Bros. Discovery (WBD) closed at $27.09, marking a +1.88% move from the previous day.

California said on Monday it has hired law firm Milbank to ​help with its lawsuit seeking to block Paramount's merger with Warner Bros , gaining access to ‌top antitrust lawyers who can go toe to toe with Paramount's legal team.

Twelve US states have sued to block Paramount from acquiring Warner Bros. Discovery in a $110bn deal.

California, New York and 10 other states filed a lawsuit over the proposed merger.

Several Hollywood trade organizations are in support of a dozen state attorneys general who filed suit Monday to block Paramount‘s $110 billion acquisition of Warner Bros. Discovery. Unsurprisingly, the Writers Guild of America — which has loudly opposed the merger since the beginning of this saga — is chief among them.

Paramount has vowed to fight California's lawsuit seeking to block its proposed $110-billion merger with Warner Bros. Discovery, arguing the deal would actually boost competition.

Advisers are reportedly pushing David Ellison to move Paramount out of California as AG Rob Bonta sues to block the Warner Bros. Discovery merger.