Paramount Global Announces New Office of the CEO
George Cheeks, Chris McCarthy and Brian Robbins will head newly formed Office of the CEO
Paramount Global has officially announced the departure of CEO, Bob Bakish, after almost three decades with the company. The move comes as Paramount Global and controlling shareholder Shari Redstone work towards finalizing a merger deal with Skydance Media.
In a groundbreaking decision, three prominent divisional heads will now spearhead the newly formed “Office of the CEO.” The exceptional talents of George Cheeks, Chris McCarthy, and Brian Robbins will be utilized to develop a comprehensive and long-range plan to expedite Paramount Global’s growth, optimize the streaming strategy, and strengthen the balance sheet. These executives will work closely with CFO Naveen Chopra and the board of directors.
Paramount Global’s Board and Shari Redstone express confidence in the new leadership
In a statement, Shari Redstone, Paramount Global’s nonexecutive chair, expressed immense confidence in George Cheeks, Chris McCarthy, and Brian Robbins, emphasizing their ability to work together as true partners. Redstone believes their combined leadership will pave the way for future opportunities and potential value creation within the company.
Bakish’s departure accelerates potential merger and strategic plans
Bob Bakish’s resignation as CEO may serve to expedite Paramount Global’s merger plans with Skydance Media. Paramount Global’s board and Shari Redstone have been negotiating terms for a merger, set to expire May 3, which grants nonvoting shareholders of Paramount Global approval over any Skydance deal. Additionally, Skydance has offered a cash infusion of $3 billion to Paramount Global, potentially aiding in the reduction of the company’s $14.6 billion debt.
However, an alternative bid from Sony Pictures Entertainment and private-equity firm Apollo Global Management may emerge, raising the potential for a private takeover of Paramount Global.
Challenges ahead for Paramount Global
Apart from the management changes and merger discussions, Paramount Global faces a distribution deal’s expiration with Charter Communications, which could greatly impact the company’s future financial performance. Negotiations between Paramount and Charter Communications have been historically challenging, as witnessed during negotiations with Disney in 2023.
Bakish’s remarkable career at Paramount Global
Bob Bakish’s tenure at Paramount Global and its predecessor, Viacom, spans over three decades, during which he held various key positions before becoming CEO in 2016. Joining Viacom in 1997, Bakish’s significant contributions helped shape the company’s success and expansion.
As Bakish exits Paramount Global, he stands eligible for severance payments and benefits, subject to the company’s terms and conditions.
