FCC lets Paramount sell 49.5% equity stake to Saudi Arabia, UAE, and Qatar
FCC rejects concerns about repressive governments buying influence over CBS owner.
The Federal Communications Commission yesterday approved Paramount Skydance's plan to sell large equity stakes to the sovereign wealth funds of Saudi Arabia, the United Arab Emirates, and Qatar.
Under US law, companies with licenses to run broadcast stations need FCC approval to have direct or indirect foreign ownership exceeding 25 percent of the company's stock. Paramount says its indirect foreign ownership will reach 49.5 percent after it receives investments from the sovereign wealth funds and filed a petition asking the FCC to waive the foreign ownership limit.
Paramount, the owner of CBS, holds FCC licenses for the 28 local CBS stations that it owns and operates. Paramount is buying Warner Bros. Discovery in a $111 billion deal that is being partially financed with foreign investment but hasn't completed the acquisition because US states filed a lawsuit that aims to block the merger. Trump's Department of Justice approved the merger.