Sony Pictures Entertainment and Apollo Global discussed possible joint bid for Paramount Global

A response from Apollo's representative was not immediately available, while a Sony spokesman declined to comment

The New York Times initially reported on discussions, as sources close to the matter confirmed ongoing conversations. However, caution was advised, noting numerous obstacles that must be addressed before formal offers can be made. Previously, Apollo had proposed a $26 billion offer for Paramount independently, followed by a $11 billion offer solely for the Paramount Pictures film studio. Paramount Global is currently engaged in an exclusive 30-day negotiating period with Skydance Media, aiming to finalize a deal merging Paramount into Skydance under new management led by Skydance CEO David Ellison. To assess offers and options for Paramount, Paramount Global has established a special committee of board members. Concerns over Apollo's potential difficulties in completing the deal, given regulatory sentiments, led the committee to rebuff Apollo's advances. There's apprehension that a financial buyer like Apollo may not be as favorable an owner for challenged assets as a strategic buyer like Skydance.

The proposed deal between Apollo and Sony signifies a significant shift for Sony Corp., which has maintained a Hollywood presence for nearly 35 years since acquiring Columbia Pictures in 1990. Despite persistent rumors of Sony Corp. exiting its Hollywood investment, Sony Corp. has consistently denied such speculation. Skydance and RedBird plan to conduct a roadshow to pitch their deal to common shareholders if terms are agreed upon. The inclusion of Sony in discussions with Apollo may complicate the Skydance talks, despite the existing exclusive window.