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AT&T to spin off WarnerMedia in tie-up with Discovery
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Last Updated: May 17, 2021, 07:07 PM IST
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Synopsis
When the deal is finalized, AT&T will receive $43 billion and AT&T s shareholders will take stock representing 71 percent of the new company, with owners of Discovery which operates Discovery Channel, Food Network, Animal Planet and others holding 29 percent.
Agencies
The slump in WarnerMedia s value highlights the changing landscape in media as traditional Hollywood giants lose ground to new streaming players.
AT&T said Monday it was spinning off its WarnerMedia unit and combining it with Discovery, creating a new standalone media giant and ending the telecom group s ambition to become a content and delivery powerhouse.