Warner Bros. Discovery to split
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Communications-services companies fell as enthusiasm about deal activity faded somewhat. Warner Bros. Discovery is expected to become one of the first corporate borrowers to restrict creditors from forming certain cooperation groups as the entertainment company completes a debt deal tied to its separation into two public businesses.
The pending split of Warner Bros. Discovery will be the third undone merger for the media giant since 2009. The history of Warner Bros. is a history of mergers and sales, dating back to a sneaky transaction Jack Warner pulled off in the 1950s to become the studio’s largest shareholder.
Warner Bros. Discovery will calve off cable operations from its streaming service, creating two independent companies as the number of people "cutting the cord" brings with it a sustained upheaval in the entertainment industry.