Key Takeaways
- China has given regulatory clearance for the massive $110 billion merger involving Paramount Skydance and Warner Bros. Discovery
- Prior approvals have come from U.S. DOJ, Australian, German, French, and Saudi Arabian authorities
- European Union regulators have yet to issue their decision on the transaction
- Shareholders of Warner Bros. Discovery gave their blessing to the merger back in April 2026
- The initial announcement of this blockbuster deal came in February 2026
Chinese regulatory authorities have granted approval for the landmark $110 billion merger uniting Paramount Skydance with Warner Bros. Discovery, marking a significant milestone in the transaction’s journey.
Warner Bros. Discovery, Inc., WBD
Semafor broke the story first, referencing a report from business journalist Rohan Goswami who shared the development on X.
China’s regulatory blessing was a necessary component since both Warner Bros. Discovery and Paramount distribute theatrical releases within Chinese territories.
This latest clearance adds to a growing list of approvals, including the pivotal U.S. Department of Justice greenlight issued in June. Additional regulatory bodies in Australia, Germany, France, and Saudi Arabia have also granted their consent.
The European Union stands as the sole remaining major regulatory authority that hasn’t weighed in on the transaction.
The Path to Regulatory Approval
The historic merger announcement came in February 2026. By April 2026, Warner Bros. Discovery’s shareholder base had cast their votes in favor of the combination.
The months following have seen the deal navigate through an extensive series of regulatory examinations spanning numerous countries, with China’s approval being particularly significant due to Hollywood’s complicated dynamics with the Chinese entertainment landscape.
The Chinese box office has become increasingly unpredictable for American studios in recent times. Box office receipts from the region have diminished as China’s homegrown film sector has expanded.
This volatility is extensively documented. Warner Bros.’ 2023 release “Meg 2: The Trench” generated $53.3 million during its Chinese opening weekend. By contrast, Paramount’s 2022 sensation “Top Gun: Maverick” was denied a Chinese theatrical run entirely, falling victim to escalating U.S.-China diplomatic friction during that period.
Final Regulatory Checkpoint
With Chinese authorities now approving the transaction, the European Union represents the only significant regulatory entity yet to deliver its verdict. Officials have not disclosed a timeframe for the EU’s determination.
Once all approvals are secured, the merged company would unite two of Hollywood’s most powerful studios into a single entertainment powerhouse, carrying an estimated valuation between $110 and $111 billion across various reports.
Warner Bros. Discovery (WBD) investors demonstrated overwhelming support for the deal during their April voting session, indicating robust enthusiasm for the consolidation from within.
The June DOJ approval represented the most critical domestic obstacle for the transaction in the United States. China’s regulatory nod, though anticipated by industry analysts, remained an essential requirement given both companies’ operational presence in Chinese markets.
With the overwhelming majority of key regulators now behind the merger, the transaction approaches its final stages. The European Union’s forthcoming decision represents the last major barrier before the deal can officially conclude.
