What's next for Paramount after demise of Skydance merger

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Shari Redstone,Skydance,Rich Greenfield

Paramount's future now hangs in the balance after Shari Redstone ended merger talks with Skydance Media.

, a former entertainment industry executive and professor at Syracuse University, told Yahoo Finance. "The deal seemed like it was pretty far down the road."

But critics maintained the offer still unfairly benefitted Redstone while diluting the holdings of public stakeholders. The threat of litigation loomed as a result.Hamilton agreed that threat was a primary overhang for the transaction, especially since Redstone likely needed to be indemnified against potential lawsuits as part of the deal.reportedly at odds with Redstone

The company has previously weighed selling parts of its business, which industry watchers say will be the norm following the Skydance unraveling."There was an attempt to keep the organization intact to increase the value for sale, but now I think they're looking at ways to cost contain and sell off assets versus the whole organization," Hamilton said.

Looking ahead, Greenfield said he expects a pause on Paramount M&A activity over the next 12 to 18 months: "There are plenty of aforementioned easy lifts to create value that do not require a sale today.

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