Netflix secures $25 billion in debt facilities to fund Warner Bros. Discovery deal
On December 19, 2025, Netflix signed a $5 billion unsecured revolving credit agreement and a $20 billion unsecured delayed draw term loan agreement, both with Wells Fargo as administrative agent. The facilities replace part of the bridge commitment letter dated December 4, 2025, and are intended to pay the cash portion of the purchase price under the proposed merger with Warner Bros. Discovery, along with related fees and refinancing, which means Netflix will take on substantial new borrowing if the merger proceeds.
Key points
- Revolving credit facility of $5 billion, with loans priced at Term SOFR plus 0.60% to 1.10% based on credit ratings
- Two delayed draw term loans: $10 billion maturing in two years and $10 billion maturing in three years
- Both agreements require a minimum EBITDA to interest expense ratio of 3.0 to 1.0 at each fiscal quarter end
- Commitments reduce the December 4, 2025 bridge commitment letter dollar for dollar
The filing
Written by AI (Anthropic Claude, claude-haiku-5-5) on Nov 8, 2026, 2:16 AM ET, from the text of the filing and its press-release exhibits only. Written later: this filing was briefed after the fact, when past filings were added to the site, so the brief may be read with hindsight; the filing itself is the record of what was known on December 22, 2025.
Briefs are written by AI from the filing text (each brief's own page names the model) and can contain mistakes — open the filing before acting on anything. Impact (1-5) and tone are the model's reading of the filing for shareholders, not a price forecast. Not investment advice.