Skydance shares fell sharply at the open after beginning to trade without the right to a newly issued warrant, a price adjustment rather than bad news. The company distributed 470.7 million warrants, one for each Class B share, each allowing the purchase of one share at $12 and trading separately as SKYD WS, with holders such as Larry and David Ellison excluded. Skydance recently completed its acquisition of Warner Bros. Discovery and reported pro forma net debt of $78.9 billion, which the article identifies as the key balance-sheet issue. Netflix rose 0.9% to $71.08 and Disney gained 0.34% to $108.95. The open question is whether cash generation can cover the debt before the warrants convert into new shares.
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