Warner Bros. Discovery to split into two public companies by next year

Discovery Warner Bros. plans to divide into two public companies by next year, the media giant announced on Monday, the last upheaval of the industry while consumers go from cable to streaming.

WBD will separate into a streaming and studios company, which will include its films properties and its HBO Max streaming service, and a global network company, which will include CNN, TNT Sports and Discovery, among other companies.

CEO David Zaslav will direct the streaming and studios company. The current CFO Gunnar Wiedenfels will become CEO of the Global Networks activity.

Warner Bros. Discovery plans to finish the split in the middle of 2026.

“By operating as two distinct and optimized companies in the future, we empower these emblematic brands with the clearer concentration and the strategic flexibility they need to compete most effectively in the evolution of the media landscape,” said Zaslav in a release.

The news confirms the previous reports of CNBC and others that WBD envisaged such separation. In December, the company Restructuring announced that many considered a precursor of a complete break.

It is also giant cable Comcast is in the process of Touring your wallet of wired networksincluding CNBC, in a new company listed on the stock market called slope. This separation, announced last year, inspired speculation that the media industry could soon see increased consolidation.

Warner Bros.’s Discovery actions. increased by more than 9% in preheating exchanges on Monday.

Disclosure: Comcast is the parent company of CNBC. Square would be the parent company of CNBC as part of the proposed cable spin-out.