(MT Newswires) -- Paramount Global has entered into exclusive discussions with David Ellison-led Skydance, setting aside a $26bn offer from Apollo Global Management. The move, prompted by concerns over the financing of Apollo's bid, fosters a long-standing partnership with Skydance, with whom Paramount has collaborated on a number of projects, including the latest film Top Gun.

Shari Redstone, who holds a major influence at Paramount with around 80% of the voting rights via National Amusements, is looking to consolidate this relationship. The proposed deal, valuing Redstone's stake at around $2 billion, would see Skydance and Paramount merge, strengthening their production capabilities and position in the industry.

Completion of the deal is subject to the approval of an independent committee of Paramount's Board of Directors, ensuring that the transaction benefits all shareholders and preserves the integrity of the business.

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