Paramount Directors Back Merger With Ellison’s Skydance (1)

Paramount Global directors evaluating a bid for the film and TV giant endorsed a takeover offer by independent producer David Ellison, according to people familiar with the situation, moving the storied Hollywood studio closer to a sale.

As part of a multistep deal, Ellison’s Skydance Media is offering to purchase Shari Redstone’s National Amusements Inc., the family company that holds a controlling stake in Paramount. Skydance then plans to merge with Paramount, offering more than $3 billion to that company’s other investors in the form of cash and debt repayment.

Ellison this week upped his contribution once ...