RedBird Capital Partners, led by Gerry Cardinale, invested $4 billion into Paramount’s deal to merge with Warner Bros. Discovery, the biggest Hollywood M&A deal in history, a source familiar with the deal confirmed to Variety.

RedBird had already invested $2 billion in David Ellison’s Skydance Media for its takeover of Paramount Global, a deal that closed in August 2025. The additional funding brings RedBird’s investment into the Ellisons’ media holdings to a total of $6 billion.

The Ellison family, through the equity investment from Larry Ellison (David’s multibillionaire father), holds the largest equity stake in Skydance. The Ellisons and investment firm RedBird together are the sole holders of Paramount Class A common stock, which gives them 100% control of the combined company’s voting shares. Cardinale, founder and managing partner of RedBird, serves as a director on Skydance’s board.

Cardinale, in a statement Tuesday with the Paramount-WBD merger closing, said: “This is a defining moment for the industry. By applying our owner-operator model to Paramount and WBD’s unmatched portfolio of iconic franchises, premium original programming, and live sports rights, we can protect that legacy while building for a media landscape that’s undergoing transformational change.”

According to Cardinale, David Ellison, Skydance co-CEO Ynon Kreiz “and the rest of our world-class Skydance team have the vision and track record to lead through this change. We’re proud to back them as we build a stronger Hollywood, expand opportunities for talent and create long-term value for our shareholders.”

Skydance claims that it has “the most diverse film and television library of any studio,” as well as the largest theatrical output in the industry, pledging to release at least 30 films in theaters annually. Its entertainment franchises include Top Gun, Harry Potter, White Lotus, SpongeBob SquarePants and more.

New York-based RedBird says it has investments in 50-plus companies, representing over $82 billion in enterprise value. In addition to its stake in Paramount Skydance, the firm has invested in Ben Affleck and Matt Damon’s Artists Equity, Ari Emanuel’s Mari global events and experiences company and the Fenway Sports Group, which owns the Boston Red Sox and other sports teams and businesses. RedBird also recently inked a deal acquiring control of Puck, valuing the media start-up at $250 million.

RedBird’s additional $4 billion investment in the combined Paramount-Warner Bros. was first reported by Bloomberg.