Telecom giant AT&T announced Monday a deal to combine its content unit WarnerMedia with Discovery, paving the way for one of Hollywood’s biggest studios to compete with media giants Netflix and Disney.

Under the agreement, AT&T will unwind its $85 billion acquisition of Time Warner, which closed just under three years ago, and form a new media company with Discovery. The deal would create a new business, separate from AT&T, that could be valued at as much as $150 billion, including debt, according to The Financial Times.

AT&T said it would receive an aggregate amount of $43 billion in a combination of cash, debt, and WarnerMedia’s retention of certain debt. AT&T shareholders would receive stock representing 71% of the new company, while Discovery shareholders would own 29%, it added.

source cnbc.com

also read

Greek man, 35, suffers second blood clot in days after taking AstraZeneca vaccine

Greece eyes “Iron Dome” defence system for protection of Aegean islands (video)