Warner Bros. Discovery to split into two firms

Warner Bros. Discovery said on Monday it is splitting into two companies, separating its cable and marquee streaming studio businesses, the firm said.

While one entity, called Global Networks, will host CNN, TNT, TBS and Warner’s other cable channels, as well as its international holdings, the other streaming and studios firm will consist of Warner Bros. Television, Warner Bros. Motion Picture Group, DC Studios, HBO, and HBO Max.

Warner chief executive David Zaslav will stay on as chief of streaming and studios firm, while chief financial officer Gunnar Wiedenfels will serve as chief executive of Global Networks, the company said in a statement.

“We are empowering these iconic brands with the sharper focus and strategic flexibility they need to compete most effectively in today’s evolving media landscape,” Zaslav said in the statement.

J.P. Morgan and Evercore are serving as financial advisors to Warner Bros. Discovery and Kirkland & Ellis LLP is serving as legal counsel.

The separation is expected to be completed by mid-2026.

“The separation will invigorate each company by enabling them to leverage their strengths and specific financial profiles. This will also allow each company to pursue important investment opportunities and drive shareholder value,” said Wiedenfels.

Samuel A. Di Piazza, Jr., chair of the Warner Bros. Discovery board of directors, said: “We committed to shareholders to identify the best strategy to realize the full value of our exciting portfolio of assets, and the Board believes this transaction is a great outcome for WBD shareholders. This announcement reflects the Board’s ongoing efforts to evaluate and pursue opportunities that enhance shareholder value.”

The media firm had announced the restructuring in December in what was seen as a precursor to a full break.

The media and entertainment firm last year set up its global capability centre (GCC) in Hyderabad.

The 100,000 sq. ft Hyderabad facility, WBD’s only GCC in India, along with its Mumbai facility, will play a key role in global content operations (GCO) to ensure seamless global distribution and content readiness for new streaming regions, including Asia Pacific, the company had said.

India already plays a significant role in WBD’s GCO, managing post-production, quality control, metadata, and localization for content distributed across over 3,000 platforms, 600 channels, and 18 streaming services in over 200 territories, the company said.