The Hollywood sign perched high above Los Angeles. (Photo: EPA / ARMANDO ARORIZO) 
By Dawn Chmielewski and Dawn Kopecki
The bids set the stage for a significant consolidation in the media industry and will determine the future of prized assets like HBO, the Warner Bros film library and the DC Comics universe.
Paramount is expected to bid for all of Warner Bros Discovery, including its cable television networks. Paramount's bid is backed by the studio's controlling shareholder, billionaire Oracle co-founder Larry Ellison, who is among the world's richest men.
The potential combination would enhance Paramount's presence in movie theaters, giving it a 32% share of the North American theatrical market, according to Comscore, and strengthen its streaming service by combining HBO Max with Paramount+.
Reuters exclusively reported that Warner Bros Discovery's board rejected a mostly cash offer of nearly $24 a share for the company, valuing it at $60 billion, and publicly announced it would evaluate strategic options for the studio.
NBCUniversal's corporate parent, Comcast, is interested in Warner Bros' film and television studios and HBO, whose characters, including Superman and Batman, would strengthen its theatrical and streaming business and its theme parks. The merged studios' share of the North American theatrical market would exceed 43%, according to Comscore.
Netflix is also courting Warner Bros' studio and streaming businesses, aiming to gain access to Warner Bros' extensive film library and established entertainment franchises, such as "Harry Potter" and "Lord of the Rings".
Warner Bros Discovery previously announced plans to split into two publicly traded companies, separating its studios and streaming business from its fading cable networks.
Warner Bros Discovery did not immediately respond to Reuters' request for comment. Comcast and Paramount Skydance declined to comment. Netflix could not be reached for comment. The New York Times first reported the development.
(Reporting by Dawn Chmielewski in Los Angeles and Akash Sriram in Bengaluru; Editing by Leroy Leo, Lisa Shumaker and Stephen Coates)