In a surprising move, former US President Donald Trump has purchased at least $1 million worth of bonds in both Netflix and Warner Bros. Discovery (WBD), just days after expressing his intention to be “involved” in the proposed merger between the two media giants.
According to a financial disclosure form released by the White House, Trump made two purchases from Netflix and two from WBD, each amounting to at least $502,000. The transactions were made on 12 December and 16 December, shortly after Netflix agreed to acquire WBD in an $82.7 billion deal.
Trump’s involvement in the deal has raised eyebrows, given his previous comments on the matter. “They have a very big market share,” Trump told reporters at the Kennedy Center on 7 December, just two days after the merger was announced and five days before he began purchasing the bonds. “When they have Warner Bros., that share goes up a lot. So, I don’t know. That’s going to be for some economists to tell and also – and I’ll be involved in that decision too.”
The proposed merger has faced backlash from US politicians, with Senator Elizabeth Warren of Massachusetts describing it as “an anti-monopoly nightmare.” The Writers Guild of America has also criticized the deal, warning that it would “eliminate jobs, push down wages, worsen conditions for all entertainment workers, raise prices for consumers, and reduce the volume and diversity of content for all viewers.”
Meanwhile, Paramount Skydance, led by CEO David Ellison and his father, billionaire tech mogul Larry Ellison, both of whom are friendly with the Trump administration, have launched a $108.4 billion hostile takeover bid for Warner Bros.
The White House has denied that Trump or any member of his family have any direct influence over the investment decisions of his portfolio, which is reportedly managed by third-party financial institutions. However, the timing and nature of Trump’s bond purchases have raised questions about his potential involvement in the media industry’s ongoing consolidation.
As the regulatory process for the Netflix-WBD merger continues, the former president’s financial moves and his stated intention to be “involved” in the decision-making will undoubtedly be closely watched by both industry observers and the public.