Paramount Skydance has increased its offer for Warner Bros. Discovery, now including a “ticking fee” to show confidence in regulatory approval. The $30 per share all-cash offer has not been raised, but Paramount argues it is better than the pending Netflix-WBD deal. The ticking fee is 25 cents per share per quarter for any regulatory delays.

The ticking fee could amount to $650 million per quarter if the deal is not closed past Dec. 31. Paramount also offered to fund the $2.8 billion termination fee owed to Netflix and eliminate a potential $1.5 billion refinancing cost. The offer is fully financed by $43.6 billion in equity and $54 billion in debt commitments.

RedBird Capital Partners stated that the enhanced offer aims to perfect Paramount’s proposal. If WBD rejects the offer, RedBird and Paramount will continue to engage directly with shareholders. The deal is aligned with delivering the best value and certainty, according to Cardinale.

Netflix’s acquisition of WBD assets was expected to close in 12 to 18 months after the December announcement. Last month, Netflix amended its offer to pay $27.75 per share entirely in cash. Paramount’s revised offer highlights antitrust concerns over the Netflix-WBD deal, emphasizing regulatory concerns.

Netflix co-CEO Ted Sarandos expressed confidence in getting the deal approved, citing benefits for consumers, workers, and innovation. Paramount’s revised offer seeks to address regulatory concerns and present a competitive alternative to the pending Netflix-WBD deal.

Read more at CNBC: Paramount sweetens WBD bid, stops short of raising value