The European Commission has opened an investigation into foreign investment in Paramount’s planned takeover of Warner Bros Discovery.
Saudi Arabia’s Public Investment Fund (PIF), Abu Dhabi-based L’imad Holding Company, and Qatar Investment Authority (QIA) are providing $24 billion to help finance the $111 billion deal.
The Commission has rules regarding financial contributions of at least €250 million granted by non-EU governments to companies operating in the European Union.
It has set a deadline of July 14th to either open a full investigation into the deal, or approve it.
The Foreign Subsidies Regulation investigation is separate from the Commission’s investigation into the merger itself.
Earlier this week, the UK’s Competition and Markets Authority announced its own investigation into the deal, stating it is considering whether the deal would result in “a substantial lessening of competition within any market or markets in the United Kingdom for goods or services”.
