Major Gulf sovereign wealth funds are in advanced talks to invest up to $24 billion into the proposed $110 billion merger between Paramount and Warner Bros. Discovery — marking one of the most significant cross-border investments in the global entertainment sector.
According to reports, Saudi Arabia's Public Investment Fund (PIF), alongside Qatar Investment Authority (QIA) and Abu Dhabi's L'imad Holding, are providing equity backing for the deal. The merger would create a media powerhouse combining iconic brands under a single entity expected to close by Q3 2026.
A $110 Billion Deal Reshaping Global Media
The merger would combine Paramount with Warner Bros. Discovery, creating a combined entity valued at approximately $110 billion. The combined group would bring together major brands and networks including CNN and CBS, strengthening its position as streaming continues to reshape the global media landscape.
Gulf Investment Push Led by Saudi PIF
Saudi Arabia's Public Investment Fund is expected to play a leading role, with reports indicating a potential commitment of around $10 billion. The remaining investment is likely to be split between Qatar Investment Authority and Abu Dhabi's L'imad Holding — reflecting a broader regional strategy to expand influence in global media and entertainment.
The decision by the three funds to back a single bid underscores a shared appetite among Gulf states for high-value content and distribution assets, fitting their stated ambitions to become global media influencers.
No Voting Rights for Gulf Investors
Despite the scale of the investment, the Gulf-backed funds are not expected to receive voting rights in the newly formed entity. This structure is designed to facilitate international investment while maintaining regulatory alignment within the United States. In an SEC filing, Paramount confirmed the investors will not receive governance rights, including board seats, meaning their involvement will not require a sign-off from the Committee on Foreign Investment in the United States (CFIUS).
Regulatory Outlook and Deal Timeline
Paramount executives do not expect the involvement of Gulf investors to trigger additional regulatory reviews from US authorities, including CFIUS or the Federal Communications Commission (FCC). The companies anticipate the deal will close in the third quarter of 2026, pending approvals and final agreements.
Why This Matters
This potential $24 billion investment from Gulf sovereign wealth funds highlights the growing role of regional capital in shaping global industries beyond traditional energy and infrastructure sectors. With media and entertainment undergoing rapid transformation, investments of this scale signal a long-term strategy to secure influence in content, distribution, and digital platforms.
For the Middle East, the move further positions regional investors as key players in high-value international deals — extending their reach into one of the world's most influential industries.
