“Cautious But Tenacious”: The Shari Saga Continues

shari redstone
I’m told that the parties involved are being “cautious but tenacious” in trying to get this over the finish line this time. Photo: David Paul Morris/Bloomberg/Getty Images
William D. Cohan
July 3, 2024

Larry and David Ellison, along with Gerry Cardinale and RedBird Capital, are back at the table, trying once again to make a deal with Shari Redstone for Paramount Global. The Paramount stock is up 18 percent this week, including 10 percent alone on Wednesday. Shareholders clearly want a deal at this point. 

The Ellisons and RedBird have the first part of the deal with Shari inked: They have agreed to buy National Amusements Inc., the family holding company that controls 77 percent of the voting stock of Paramount Global, for $1.75 billion—up a bit from the previous offer of $1.7 billion, which I also believe is a net number to Shari and her family. In other words, the Ellisons and RedBird have also agreed to provide to Shari an additional nearly $400 million, or more, that she needs to pay off the $200 million or so in bank debt at the NAI level and the $175 million, in the form of a PIK preferred, that NAI owes to its banker, Byron Trott, and his firm, BST & MSD Partners.