'Warner Bros. Discovery' Unveiled as Name for Newly Formed Entertainment Company

Kimberly Redmond  |

Image source: Discovery

The media company formed by the planned merger of AT&T Inc’s (NYSE: T) WarnerMedia LLC and Discovery Inc (Nasdaq: DISCA) will be known as "Warner Bros. Discovery."

On Tuesday, Discovery’s chief executive officer David Zaslav, who will lead the combined venture, unveiled the new name to employees during a meeting at the Warner Bros. studio lot in Burbank, California, according to a press release

He also announced the company’s new tagline: "The stuff that dreams are made of” — a reference to Humphrey Bogart's line in the 1941 Warner Bros. film “The Maltese Falcon.”

In a statement, Zaslav said, “We love the new company’s name because it represents the combination of Warner Bros. fabled hundred year legacy of creative, authentic storytelling and taking bold risks to bring the most amazing stories to life, with Discovery’s global brand that has always stood brightly for integrity, innovation and inspiration.”

AT&T announced last month its plans to spin off WarnerMedia and combine it with Discovery to form a streaming giant.

The $43 billion deal — which is expected to close in 2022 — will combine WarnerMedia’s properties, such as HBO, CNN, TBS, TNT and Warner Bros. Pictures, with Discovery’s portfolio, which includes HGTV, TLC and the Food Network. 

The new company, Discovery said, will “own one of the deepest libraries in the world with nearly 200,000 hours of iconic programming” and bring together more than 100 brands.

Under the terms of the agreement, AT&T shareholders would receive stock representing 71% of Warner Bros. Discovery, while Discovery shareholders would own 29%.

On Tuesday, Zaslav said, “There are so many wonderful, creative and journalistic cultures that will make up the Warner Bros. Discovery family. We believe it will be the best and most exciting place in the world to tell big, important and impactful stories across any genre – and across any platform: film, television and streaming."

The reaction to the new branding on social media was not kind, with several commenters offering immediate and harsh criticism:

Discovery referred to the logo as an "initial" wordmark, so perhaps there will be changes before it's set in stone.

_____

Source: Equities News

Market Movers

Sponsored Financial Content