Edgar Bronfman Jr. wants a tech company partnership for Paramount

Paramount also faced financial struggles after posting a 17% drop in revenue last quarter. Bronfman sees a technology collaboration as critical to improving audience growth, revenue generation and brand licensing, anonymous sources told Bloomberg.

Bronfman’s surprise $6 billion offer disrupted Paramount’s impending merger with Skydance Media, which was to be completed within days.

His bid includes buying the Redstone family’s holding company, National Amusements Inc., which controls most of Paramount’s voting stock, and he aims to acquire more of Paramount’s stock.

The offer came just before the 45-day “go-shop” period expired — a window that allowed Paramount to explore other deals even after announcing its merger with Skydance.

The move prompted Paramount’s special committee to extend its window to consider other offers by 15 days, CNBC reported Wednesday.

Skydance has offered to inject more than $8 billion into Paramount, but Bronfman’s counteroffer includes a tender offer that gives non-voting shareholders the option to receive $16 per share, CNBC reported.

If Bronfman’s bid is successful, he would take over as CEO of Paramount while retaining current employees. Bronfman will also bring in veteran executives Jon Miller and John Martin for key roles at the company, Bloomberg reported.

Skydance’s proposal includes buying all of Redstone’s stock, reducing Paramount’s debt by $1.5 billion and merging the two companies — a strategy supported by Bronfman that could dilute value for other shareholders, Bloomberg reported.

Paramount’s board has until Wednesday to weigh Skydance and Bronfman’s proposals. Both bidders will have until September 5 to revise their bids.

Bronfman did not respond to a request for comment from Business Insider sent outside standard business hours.