Kushner Firm Exits as Paramount Challenges Netflix for Warner

A private equity firm founded by Jared Kushner, the son-in-law of U.S. President Donald Trump, has withdrawn its financial support from Paramount’s aggressive takeover attempt of Warner Bros. Discovery, reshaping one of Hollywood’s most closely watched bidding battles.

The move comes just days after Warner Bros. Discovery agreed to be acquired by Netflix in a deal valued at $72 billion US. In response, Paramount launched a surprise hostile bid, offering Warner shareholders $30 US per share — significantly higher than Netflix’s $27.75 US offer — and bypassing Warner’s leadership to appeal directly to investors.

Warner Bros. Discovery is widely regarded as one of Hollywood’s most influential studios, home to powerhouse brands such as Warner Bros. Pictures, HBO, DC Comics, and the Harry Potter franchise. Media analysts say control of the studio could dramatically shift the balance of power in the global streaming landscape.

Paramount said it turned directly to shareholders after repeated attempts to engage Warner’s senior leadership failed. Its proposal seeks to acquire Warner’s entire media portfolio, including cable networks such as CNN, which were not part of Netflix’s offer.

However, Paramount’s push suffered a setback when Kushner’s investment firm, Affinity Partners, announced it would no longer participate in the bid. In a statement, the firm said investment conditions had “changed significantly” since its involvement began and confirmed its decision to step away, while still acknowledging the strategic logic behind Paramount’s proposal.

Kushner’s withdrawal removes a potential political advantage for Paramount at a time when regulatory scrutiny is expected to intensify. Paramount has argued that its offer could face fewer antitrust challenges under the Trump administration, which has already voiced concerns about Netflix’s growing market dominance.

Despite the loss of Kushner’s backing, Paramount’s bid continues to be supported by major sovereign wealth funds from the Persian Gulf, reportedly linked to Saudi Arabia, Abu Dhabi, and Qatar.

Paramount is now led by David Ellison, the son of billionaire Larry Ellison, a prominent donor to President Trump. However, Trump has recently criticized the Ellison family over news coverage, adding an additional political dimension to the unfolding media takeover battle.

Warner Bros. Discovery is currently reviewing Paramount’s proposal and is expected to inform shareholders soon whether it represents a stronger alternative to Netflix’s acquisition.