California Attorney General Rob Bonta is spearheading efforts to obstruct a potential merger between Paramount and Warner Bros. Discovery, while actor Mark Ruffalo has urged officials to halt the transaction.
State officials addressed recent allegations on Wednesday that Paramount is preparing to relocate out of California. The company declined to comment, and no official declaration has been issued.
Sources informed TMZ that officials within Los Angeles Mayor Karen Bass’s office and Bonta’s office were notified that Paramount intended to announce its departure from the state on Tuesday.
That announcement never materialized, and it remains unclear whether the company reversed its plans or simply delayed the decision. Meanwhile, Politico reports that Paramount is actively seeking office space in Nashville.
Paramount declined to comment when contacted by FOX Business.
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California officials responded after reports indicated Paramount was preparing to leave the state, although the company declined to comment and no official announcement has been made. (Noah Suave / Getty Images)
Bonta’s office stated to FOX Business that it could not comment on Paramount’s specific plans but acknowledged that the company has repeatedly threatened to leave California.
“It is no secret that Paramount has been making this threat despite its alleged commitment to California and Hollywood,” Bonta’s office said in a statement. “What Paramount decides to do is Paramount’s choice alone.”
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The attorney general’s office stated it will continue enforcing the law while remaining open to good-faith negotiations.
California Attorney General Rob Bonta is spearheading a multistate antitrust lawsuit aimed at blocking Paramount’s proposed $110 billion acquisition of Warner Bros. Discovery. (Sarah Reingewirtz/MediaNews Group/Los Angeles Daily News via Getty Images / Getty Images)
Bass’ office told FOX Business that the mayor remains focused on retaining entertainment jobs in the city.
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“Mayor Bass is focused on protecting and fighting for jobs in LA, including critical jobs in the entertainment industry that have been a vital part of Los Angeles’ economy,” her office said in a statement. “She’s been engaged on this issue and will continue to fight to ensure LA remains home to Hollywood.”
Los Angeles Mayor Karen Bass stated she is focused on retaining entertainment industry jobs in Los Angeles and ensuring the city remains the home of Hollywood. (Mario Tama / Getty Images)
The ongoing uncertainty stems from Paramount CEO David Ellison’s legal battle against Bonta and 11 other state attorneys general over the company’s proposed $110 billion acquisition of Warner Bros. Discovery.
The states filed suit in July to block the media megadeal, arguing it would reduce competition and grant the combined company excessive market power in film distribution and basic cable programming.
Ellison has reportedly threatened to relocate Paramount to Texas, Tennessee, or Georgia if the legal dispute is not resolved by October 1. Settlement discussions are currently ongoing, and the lawsuit is scheduled to go to trial in March if an agreement is not reached.