Paramount Skydance has completed its acquisition of Warner Bros. Discovery in a $110 billion transaction

Paramount Skydance completed its acquisition of Warner Bros. Discovery on Tuesday evening in a transaction valued at $110 billion, creating one of the largest giants in the U.S. entertainment and news industry.

The new company brings together the studios behind the Mission: Impossible, Harry Potter and DC Studios franchises with networks and platforms including CBS, CNN, Paramount+, HBO Max and Warner Bros. The company will be called Skydance, after the studio founded in 2006 by David Ellison, who will lead the group alongside Ynon Kreiz. Ellison will also retain his position as chairman of the Board of Directors.

The merger comes at a difficult time for Hollywood, marked by the decline of cable television, costly competition in streaming and pressure on jobs in the creative industry. The new company has estimated debt of approximately $80 billion and promises to invest at least $30 billion annually in films and series.

David and Larry Ellison, together with Gerry Cardinale, will control the company. Sovereign wealth funds from Saudi Arabia, Qatar and the United Arab Emirates contributed approximately $24 billion and will own 38.5% of the group. The company’s shares were transferred from Nasdaq to the New York Stock Exchange under the ticker symbol SKYD. The transaction is the second-largest in the history of the U.S. media industry.