• Larry Ellison offers a $40.4 billion personal guarantee for Paramount's bid for Warner Bros. Discovery.
• The guarantee aims to address Warner Bros.' concerns about the financial backing of Paramount's offer.
• Paramount's total bid value reaches $108 billion, including cash and cable assets.
• The amended proposal increases the breakup fee to $5.8 billion, matching that of Netflix's offer.
• This acquisition battle highlights the intense competition in the entertainment industry.

Oracle co-founder Larry Ellison has stepped in to provide a $40.4 billion personal guarantee to secure Paramount's bid for Warner Bros. Discovery (WBD), responding directly to the board's financial concerns. WBD had previously described Paramount's offer as risky due to reliance on external investors and a lack of transparent financial backing, pushing the board to advocate for a competing buyout offer from Netflix, which was valued at approximately $83 billion. The involvement of Ellison aims to strengthen Paramount's position, ensuring investors of the bid's viability, according to Indiatimes and Le Monde.

Following a swift sequence of events, Paramount's proposal has undergone amendments to reassure WBD's board about its financial commitments. The board had cited concerns, branding the original funding structure as unreliable. In response, Paramount has increased the breakup fee to $5.8 billion as a show of good faith, aligning it with Netflix's offer. David Ellison, CEO of Paramount and son of Larry Ellison, emphasizes that their $30 per share all-cash offer remains the superior option for maximizing value for WBD shareholders, as stated in reports from South China Morning Post and Indiatimes.

Ellison's backing places significant weight on the takeover attempt, showcasing a family dynamic in a high-stakes business deal. Paramount has stated that WBD's concerns regarding the Ellison family trust's transparency are being addressed, alongside the confirmation of holdings that underpin the financing structure. The firm aims to neutralize the board's reservations by ensuring that shareholders receive an attractive and adequately financed proposal which involves acquiring not just Warner Bros. studio assets but also its cable channels, including CNN and TBS, as explained in analysis from Indiatimes and South China Morning Post.

As the bidding war unfolds, the involvement of notable figures like Donald Trump, who has expressed concerns regarding the implications of Netflix's deal, underscores the broader significance of this acquisition battle beyond just financial metrics. Trump has criticized both bidders but has pointed out that CNN needs new ownership, alleging it has been biased in its coverage. This intertwining of political dynamics with corporate maneuvering illustrates the complexities involved in acquisitions at this scale, as mentioned by Le Monde and reiterated in Indiatimes.