New York hedge fund manager Soo Kim has been approached by at least one major Warner Bros Discovery (WBD) shareholder about acquiring all or part of the group’s cable television assets, including CNN, according to a report by the Financial Times citing people familiar with the matter.
Kim, founder of Standard General, is understood to be in discussions around a potential purchase or investment in WBD’s television networks business. The assets include CNN, Food Network and Discovery Channel, which are expected to be separated from WBD as part of its broader strategic restructuring.
Standard General has a track record in distressed and complex transactions, having previously invested in companies such as RadioShack and American Apparel. The firm has also completed media deals in the past, including the acquisition of Young Broadcasting out of bankruptcy in 2010, later selling the combined Media General group to Nexstar Broadcasting.
The talks come as WBD urges shareholders to reject Paramount’s $108bn hostile bid for the company, arguing the offer lacks secure financing. Paramount, led by chief executive David Ellison, has disputed that claim. Separately, WBD has agreed to sell its studio and streaming assets, including HBO, to Netflix in a deal valuing those businesses at $27.75 per share.
