David Ellison, chief executive of Skydance Media, thanked employees of his company for their focus as he was engaged in a months-long bid to merge with Paramount Global. And even though that effort failed, he said that Skydance is stronger after having gone through the M&A cycle.
On Tuesday, Shari Redstone’s National Amusements, the controlling shareholder of Paramount Global, said it had ended merger talks with Skydance because it was not able “to reach mutually acceptable terms regarding the potential transaction with Skydance Media for the acquisition of a controlling stake in NAI.”
In a memo to Skydance staffers Tuesday evening obtained by Variety, Ellison wrote, “As you all know, for the last several months we have been actively exploring a transaction to acquire NAI and merge with Paramount Global, and today that chapter ended.”
“Skydance is stronger than ever because of you, and we are stronger because of this process,” he wrote. “For starters, we are smarter. We know more about our business, our potential, and the marketplace at large.”
Ellison thanked his team in the memo, writing, “While I was focused on this effort, you all doubled down on Skydance. In just a short time since we went back to work after a historic two-guild strike, you have delivered more TV product in our company’s history, hit video game franchises, Emmy-winning sports content, and a feature film slate that is our industry’s finest. For all of this and more, I thank you.”
Paramount and Skydance have worked together for more than a decade as partners on the “Mission: Impossible” and “Transformers” film franchises as well as “Top Gun: Maverick,” the No. 2 film at the box office in 2022. “Paramount will always hold a special place for me,” Ellison wrote in the memo, noting that Skydance had its first slate deal with the studio and they continue to co-own “several marquee franchises together. I have great respect for the legacy of Paramount, value our ongoing partnership and wish them the best.”
Read Ellison’s full memo:
From: David Ellison
Date: June 11, 2024 at 7:13 PM PDT
To: All Skydance
Subject: Thank You
Team,
As you all know, for the last several months we have been actively exploring a transaction to acquire NAI and merge with Paramount Global, and today that chapter ended.
While I was focused on this effort, you all doubled down on Skydance. In just a short time since we went back to work after a historic two guild strike, you have delivered more TV product in our company’s history, hit video game franchises, Emmy-winning sports content, and a feature film slate that is our industry’s finest. For all of this and more, I thank you.
Skydance is stronger than ever because of you, and we are stronger because of this process. For starters, we are smarter. We know more about our business, our potential, and the marketplace at large. We are more confident than ever – not just about Skydance but about the future of entertainment and our ability to continue building a next generation content company on our terms, with the greatest capital, creative and technological resources and talent in the industry. The bottom line: our future is incredibly bright and tomorrow we will keep building to make it even better.
Paramount will always hold a special place for me, we had our first slate deal with the studio and continue to co-own several marquee franchises together. I have great respect for the legacy of Paramount, value our ongoing partnership and wish them the best.
Finally, again, I want to thank each of you for your patience and support as we chart the next phase of Skydance. We have a lot to look forward to.
Best,
David Ellison
Chief Executive Officer, Skydance Media
Source Agencies
