Oregon Withdraws Motion to Delay $110 Billion Paramount-Warner Bros. Merger

The Oregon attorney general's office has withdrawn its court motion seeking to delay Paramount's proposed $110 billion acquisition of Warner Bros., a tactical shift in a broader regulatory battle over the media megamerger. The state accused Paramount of non-compliance with its investigation but indicated it is considering its next steps.

A Tactical Retreat

The Oregon Department of Justice announced on Friday it had pulled its motion, which was filed in a Multnomah County court. The legal action had sought to compel Paramount to produce documents and postpone the deal's closing for 60 days to allow for a state review.

In a statement provided to Reuters, the department said, "Paramount made it clear that they weren’t going to comply with the investigative demand, and that they think they’re above the law." The statement concluded, "We’ve withdrawn the motion to consider our next steps."

The Heart of the Dispute

Oregon's investigation focused on securing internal records related to Paramount's strategy for obtaining regulatory clearance, an effort code-named "Project Warrior." The state also requested documents concerning the company's lobbying of the Trump administration in support of the merger.

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As part of the now-defunct motion, Paramount had previously agreed not to close the transaction before July 22 while the state's review was pending.

Broader Scrutiny Remains

While the withdrawal is a procedural victory for Paramount, the landmark deal still faces significant opposition. In a statement to Reuters, a Paramount spokesperson said the company was "pleased" with the development, calling the merger "lawful" and "pro-competitive."

The proposed combination of two of Hollywood's four major studios has drawn criticism from industry actors and writers over concerns about potential job losses. For investors, the most significant risk remains potential antitrust action from other states, which, according to a prior Reuters report, could sue to block the acquisition as early as next week.