Trump endorses Paramount merger with David Ellison’s Skydance
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President Trump has endorsed David Ellison’s takeover of Paramount Global — an $8-billion merger that has been complicated by his $20-billion lawsuit over CBS’ “60 Minutes.”
On Wednesday, Trump was asked about the hold-up in the federal review of Skydance’s takeover of the storied entertainment company. The question came as reporters clustered around the president on the White House lawn to watch the installation of a flagpole.
The Paramount-Skydance deal has been pending at the Federal Communications Commission since late last fall.
Trump said he hoped the deal goes through.
“Ellison is great. He’ll do a great job with it,” Trump said.
Then he appeared to connect the merger-review delay to his lawsuit against CBS and its parent Paramount over last fall’s “60 Minutes” interview with then-Vice President Kamala Harris.
Two California Democrats have proposed a hearing to review Paramount Global’s efforts to settle Trump’s $20-billion lawsuit. ‘I haven’t seen a president act in this brazen of a manner,’ said state Sen. Josh Becker (D-Menlo Park).
Trump has maintained since last October that the Harris interview was edited to burnish her chances in the November election. CBS has denied the allegations, saying the edits were routine. The raw footage showed Harris was accurately quoted, but Trump’s team said he suffered “mental anguish” from the broadcast.
“They interviewed Kamala. Her answer was horrendous,” Trump said Wednesday. “I would say election-threatening. ... Her answer was election-threatening it was so incompetent.”
1st Amendment experts have called Trump’s case frivolous, but Paramount wants to avoid waging an extensive legal fight. Paramount’s leaders have pursued a settlement to help clear a path for the company’s sale to Skydance — a deal that needs the approval of the FCC.
The mediation process to resolve the lawsuit, filed in a Texas court, has become protracted.
“They‘re working on a settlement,” Trump said Wednesday. He mentioned that two high-level CBS executives — the head of CBS News and the executive producer of “60 Minutes” — had abruptly departed as the merger review dragged on.
“They’re all getting fired,” he said.
Paramount wants to secure the rights to stream ‘South Park,’ but the deal still hasn’t come to fruition as the Skydance deal is still in limbo.
Late last week, Trump’s legal team filed court documents asking for a deadline extension in the discovery process, disclosing the two sides were working to reach a resolution.
Earlier this month, Ellison met Trump briefly while the two men were sitting ringside at a UFC fight in New Jersey, according to video footage shared online. Skydance declined to discuss Ellison’s interaction with Trump.
It marked the second time this year that Ellison chatted with the president at a UFC match. The first was in April.
Three Senate Democrats warned that any payment to Trump to gain favorable treatment by regulators could violate federal anti-bribery laws. Paramount’s dealings with Trump ‘raises serious concerns of corruption and improper conduct,’ they said.
It’s been nearly a year since Paramount’s controlling shareholder Shari Redstone and fellow Paramount directors approved the two-phased $8-billion deal that will hand the company to the son of tech billionaire Larry Ellison, who is a Trump supporter.
The deal will also see the Ellison family buy the Redstone investment vehicle, National Amusements Inc.
Santa Monica-based Skydance intends to consolidate the company that boasts the Melrose Avenue Paramount film studio, Paramount+ streaming service, CBS and cable channels including Comedy Central, Showtime and BET.
Skydance operations and personnel will be folded into Paramount.
The deal faces one final regulatory hurdle: FCC Chairman Brendan Carr’s consent to transfer 29 CBS television station licenses to the Ellisons from the Redstones.
This week, the Senate approved Trump’s second Republican appointment to the panel, Olivia Trusty.
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