Mergers &
Acquisitions

This week saw major moves in entertainment and healthcare technology as Paramount merges with Skydance to reshape streaming while Waystar acquires Iodine Software to boost its AI healthcare platform.

1. Paramount and Skydance Media Merge in $8 Billion Deal

Paramount Global (NASDAQ: PARA) has received regulatory approval to proceed with its $8 billion merger with Skydance Media. The FCC cleared the deal in a 2-1 vote, allowing the combined company to close by September. Skydance founder David Ellison will be CEO of the new entity as they plan to enhance Paramount's streaming offerings for the changing entertainment landscape.

The deal faced challenges after CBS became involved in a dispute with former President Trump, resulting in a $16 million settlement. The FCC's approval came after Skydance committed to implementing oversight for CBS News content. This merger offers Paramount a strategic reset through enhanced direct-to-consumer offerings and a stronger focus on digital streaming.

The combined company will leverage Skydance's production capabilities with Paramount's extensive content library and distribution networks. Investors are watching closely to see how the new leadership will navigate the competitive streaming market against giants like Netflix and Disney+.

Merging Parties: Paramount Global (New York, NY) + Skydance Media (Santa Monica, California)
Deal Value: ~$8,000,000,000
Announcement Date: July 25^th, 2025
Expected Close: September 2025
Skydance Advisors: RedBird Advisors, Bank of America, Moelis & Company, The Raine Group (Financial); Latham & Watkins LLP (Legal)
Paramount Advisors: Centerview Partners, Rothschild & Co. (Financial); Swaine & Moore LLP, Simpson Thacher & Bartlett LLP (Legal)

Summary

• Creates major new player in streaming entertainment
• David Ellison to lead combined company
• Focus on digital transformation and direct-to-consumer offerings

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2. Waystar Acquires Iodine Software for $1.25 Billion

Waystar (NASDAQ: WAY) has agreed to acquire Iodine Software in a deal valued at approximately $1.25 billion. The acquisition, expected to close by year-end 2025, will be funded with half cash and half stock. Advent International, Iodine's majority shareholder, will take its entire payout in Waystar shares subject to an 18-month lockup.

The deal significantly enhances Waystar's AI capabilities in healthcare payments by incorporating Iodine's clinical intelligence tools used by major hospitals nationwide. Iodine's dataset covers over one-third of all US inpatient discharges, which will power improvements to Waystar's AltitudeAI™ engine.

Waystar expects the transaction to be immediately accretive to EBITDA margins and revenue growth, with $15+ million in identified cost synergies. Investors await Waystar's Q2 2025 earnings report on July 30th for more details on the company's performance and integration plans.

Acquirer: Waystar (Louisville, Kentucky)
Target: Iodine Software (Austin, Texas)
Deal Value: ~$1,250,000,000 (50% cash, 50% stock)
Announcement Date: July 23^rd, 2025
Expected Close: End of 2025
Waystar Advisors: Barclays (Financial); Simpson Thacher & Bartlett LLP (Legal)
Iodine Advisors: J.P. Morgan (Financial); Weil, Gotshal & Manges LLP & Queen Saenz + Schultz PLLC (Legal)

Summary

• Boosts Waystar's AI capabilities in healthcare payments
• Expands addressable market by 15%+
• $15+ million in expected cost synergies