Shareholders of Warner Bros. Discovery voted Thursday to approve an $81 billion acquisition by Paramount Global, advancing one of the largest proposed media mergers in recent years.

The deal, backed by Skydance Media, would combine Warner’s assets, including HBO Max, CNN, and major film franchises, with Paramount’s portfolio, which includes CBS, Paramount+, and its film studio. The total value of the transaction reaches approximately $111 billion when factoring in debt.

The shareholder vote marks a significant step forward after months of competing bids and negotiations. Warner had previously explored a $72 billion offer from Netflix focused on its studio and streaming businesses before Paramount pursued a broader acquisition and ultimately secured support with a higher bid.

Despite shareholder approval, the merger still faces review from federal regulators, including the U.S. Department of Justice, as well as potential scrutiny from state and international authorities. Warner has indicated the deal could close in the third fiscal quarter if it clears those hurdles.

If completed, the merger would unite two major Hollywood studios and consolidate a wide range of media assets across film, television, streaming, and news. It would also bring together Paramount+ and HBO Max, raising the possibility of a combined streaming platform with an expanded content library.

Skydance CEO David Ellison has said the combined company plans to maintain a strong theatrical presence, including a commitment to a 45-day theatrical window and a target of releasing 30 films annually across both studios.

Regulatory filings indicate the merged company may pursue cost-cutting measures, including layoffs and operational consolidation. Critics have also questioned whether the deal could lead to higher streaming prices and reduced content diversity.

The transaction is also backed in part by international investment funds, including Saudi Arabia’s Public Investment Fund, though those investors are not expected to have voting control. California Attorney General Rob Bonta and other regulators are reviewing the deal as the approval process continues.

With shareholder backing now secured, the focus shifts to regulatory decisions that will determine whether the merger can be finalized.