The Powers That Be: Daily Media Monday: WBD’s Stub Sweepstakes & Semafor’s Number Games
Jan 12, 2026
Dive into the intriguing world of media as two insiders dissect WBD's $108 billion 'stub' debate over cable networks. Discover why Netflix's offer could be more appealing than Paramount's bid, and uncover the complexities behind corporate strategies in this fierce takeover battle. The conversation shifts gears to Semafor, examining its successful $30 million fundraising round and unique monetization tactics through events and sponsorships. The stakes are high, and the implications for digital media are significant.
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Deal Hinges On The Cable Stub Valuation
- The takeover fight boils down to how much the WBD cable "stub" is worth relative to the bids.
- Paramount claims the stub is effectively worthless, shifting the comparison in favor of its $108B offer.
Board Cites Revlon Duties For Netflix Preference
- The WBD board prefers the Netflix deal because they view it as a higher total value including a spun-off stub.
- That preference is grounded in Revlon duties to accept the superior financial offer for shareholders.
Versant's Performance Lowers Stub Expectations
- Versant's weak public debut undermines optimistic valuations for WBD's cable assets.
- Market performance of comparable spinoffs directly influences shareholders' view of the stub's worth.