Judge Expedites Lawsuit Over Paramount-Skydance Merger

A Delaware judge, Chancellor Kathaleen McCormick, has declined a temporary restraining order but fast-tracked a lawsuit challenging Paramount Global's $8 billion sale to Skydance Media. The lawsuit, filed by New York City pension funds, argues that the deal undermines public shareholders by ignoring a $13.5 billion bid from Project Rise Partners. McCormick ruled that there is sufficient harm to expedite the case but not to issue a TRO, allowing the Skydance deal to proceed pending further legal decisions. Paramount and Skydance must notify the pension funds at least five business days before finalizing the deal, providing an opportunity for further legal actions. The deal includes a 45-day 'go-shop' period, which ended without acceptance of rival bids. The outcome of the case may influence the future of competing offers, including a $13.5 billion bid from Project Rise Partners, as the deal awaits regulatory approval from the FCC.