Paramount (PSKY) Debt Downgraded to Junk Following Warner Bros. (WBD) Deal
https://www.bloomberg.com/news/articles/2026-03-03/paramount-debt-downgraded-to-junk-following-warner-purchase-deal?taid=69a627fcd480770001015fb1&utm_campaign=trueanthem&utm_content=business&utm_medium=social&utm_source=twitter&leadSource=reddit_wall
Posted by Even_Charity9078
27 Comments
A 15B valued company with 30B debt increases that debt by 111B in order to buy a competitor. What could go wrong?
Larry may have to sell $40 billion worth of Oracle stock if the new Paramount cash flow is not enough to meet their debt obligations.
https://preview.redd.it/0oa234h3ptmg1.png?width=512&format=png&auto=webp&s=d8f84b1a3984f011f63697dd603db95c78321c82
Guess who’s gonna sweep an and save the day by buying both?
My bet is Disney
I wish I could do my job with such financial irresponsibility, and most likely face no consequences for it.
But nooooo, I have a “fiduciary duty to my clients” or some shit.
**Tik tik tik tik tik toxic…**
Perfect rating, it was totally not feasible for Paramount to execute this deal, but the whole idea of controlling media superseded the actual reality of being able to add and manage $111 billion in debt. If this affects Oracle from the mass share selling, even better. Billionaires just ruin the small good things we have in life.
Why is Paramount’s ticker called PeSKY?
Perfect for Netflix, when this deal forces the companies under it can swoop in and get two for the price of a half
This is what happens when they let a multi-billion dollar company make acquisitions on margin.
This is about buying CNN for propaganda machine just like CBS got bought out. They don’t care about the future of neither company.
They’ll be classified as Critical National Security because they control the media landscape and be bailed out by the Govt.
I hate the ellisons also but I’ll be buying PSKY shares this morning
Eh what happened
Cash is going to be meaningless at some point in the next two years. They are trading soon to be worthless cash for assets.
Netflix is gonna circle back and buy paramount for Pennie’s in a couple years
To put this in perspective, PSKY has had a negative net earning in the billions negative both last year and the year before. And this debt will add -2.7B in debt servicing to it. WB has been having similar issues.
Dump Oracle.
I’ll buy your company for $40. That’s about what it’s worth.
The name’s Bond. Junk Bond.
This is like if one of those birds that usually swallows a big fish whole tries to swallow a person.
Why is this company up 23% on the week?? How did this rise 30% after the news? Absolutely ludicrous.
In tomorrow news:”Netflix buying Paramount!”
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This will be McDonnell Douglas buying Boeing with Boeing’s money.
Didn’t this happen to Porsche circa 2008?
Junk just means “not investment grade”. Plenty of performing businesses have junk rated debt.