Warner Bros Discovery ponders outright sale

STORY: Shares of Warner Bros Discovery soared as much as 12% in Tuesday morning trading, after the company said it may put itself up for sale in what would be the latest shakeup among legacy media brands.The consideration of an outright sale comes amid unsolicited interest from potential buyers.A source told Reuters on Tuesday that Comcast is likely to examine the media firm's assets, which include CNN, HBO Max and the "Harry Potter" franchise.CNBC reported that Netflix is also among the interested parties.Earlier reports named Paramount Skydance CEO David Ellison as a potential buyer, with Bloomberg News reporting that an initial bid by Paramount was rejected for being too low.Ellison is backed by his billionaire father and Oracle co-founder Larry Ellison, whose political ties to President Donald Trump could help smooth any regulatory hurdles, according to analysts.Shares of Warner Bros Discovery have surged 46% since reports of Paramount's interest surfaced in September.Paramount declined to comment, while Netflix did not immediately respond to Reuters' request for comment.Warner Bros Discovery announced plans in June to split into two units by next year to separate its growing streaming business from its lagging cable network unit.A sale or a split would be one of the most consequential reshaping moments in the media industry, potentially prompting other legacy media houses to revisit their own structures.

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