David Ellison looks on during the BNP Paribas Open on March 13, 2026, in Indian Wells, California. His father, Larry Ellison, owns the tournament. Matthew Stockman/Getty Images Paramount Skydance has confirmed speculation that Middle East money is, in part, backing its acquisition of Warner Bros. Discovery.
More specifically, the capital is coming from Saudi Arabia’s PIF (public investment fund), L’Imad, an Abu Dhabi sovereign wealth fund, and QIA, a Qatar Investment Authority fund. The Ellison family, RedBird Capital and LionTree Investment Fund are also among the equity stakeholders; LionTree is a newcomer to the deal — publicly, at least.
“PSKY believes the successful Equity Syndication is an important milestone in the WBD transaction process, and that the resulting diversification of its shareholder base, the potential for strategic and commercial opportunities with the various Equity Syndication Parties, and the value of the Warrants described below, enhance long-term shareholder value,” the Tuesday Form 8-K filing with the SEC reads, in part. “PSKY also believes the Warrants support its longer term objective of a wider and deeper public float.”
It’s not immediately clear what the strategic and commercial opportunities are, though Warners has a Warner Bros. World in Abu Dhabi, and many of the Middle East funds are seen as eager to invest in American tech and media giants.
“The Ellison Guarantee and the Subscription Agreements remain in full force and effect on their original terms. The Syndication Assignments do not relieve the Equity Investors of their obligations under the Subscription Agreements or the Ellison Guarantee,” it continues. “To the extent that any Equity Syndication Party does not perform under its Syndication Assignment, the obligation of the Equity Investors to fund the related amount of the Commitments would continue to be required under the Subscription Agreements and the Ellison Guarantee.”
The Ellison Guarantee refers to Oracle founder Larry Ellison’s personal guarantee to backstop the Warners deal for his son, should any other equity deals fall through. It is not immediately clear if David Ellison will pursue other equity partners for Warners.
Originally, Netflix was set to buy the “Warner Bros.” pieces of Warner Bros. Discovery, following a preplanned split and spin. David Ellison, who recently merged his Skydance with Paramount Global, would not be denied, however. His $111 billion offer for the entirety of WBD was ultimately considered the superior offer — and now we know where much of that money is coming from.
Paramount confirmed last year that it had brought on Middle East funds to backstop a prior bid for Warners, the one which was ultimately rejected in favor of Netflix. The company had been mum until now whether those funds would back its newer deal.
While the Ellison family will control the combined company, it is not clear how large an equity stake the new holders will have as of now.
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