Division of Warner Bros. Discovery. Who will take control of TVN?

Warner Bros. Discovery has announced a plan to divide the company into two independent entities – this decision is to be implemented by the end of 2025. The concern explains the movement of viewers’ preferences, who are increasingly giving up traditional television in favor of streaming. The new structure is to better respond to the needs of the market. Two separate segments will be created: “Streaming and Studios” – including HBO Max and film production, and “Global Networks” – managing TV stations, including CNN, TNT Sports, Discovery and Polish TVN.

Division of Warner Bros. Discovery – staff changes

David Zwolav, current president of Warner Bros. Discovery, the head of a streaming company, while Gunnar Wiedenfels, the current financial director, will manage the “traditional” part.

“Acting as two separate and optimized companies in the future, we strengthen these iconic brands, providing them with greater concentration and strategic flexibility that they need to compete most effectively in today’s changing media landscape,” says David Swelav in a published message.

Division of Warner Bros. Discovery and finances

However, before the company is divided, the company will need a cash injection – notes “Business Insider” (“BI”) and indicates information from the Bloomberg agency. According to them, Warner Bros. Discovery will take a bridge loan of $ 17.5 billion, which aims to recapitalize the entity before division.

The newly established Global Networks company will keep 20 percent shares in “Streaming and Studios” – they are to be partially cashed to reduce the debt. As “BI” reminds, Warner Bros. Discovery was created from the merger of Warnermedia and Discovery Inc., which burdened the company with a huge debt. The division is to free more profitable areas of activity. The market reacted positively – the company’s shares grew by more than 9 percent. in pre -registration notes.