Netflix's stock jumped more than 10% on Friday after the company decided to withdraw from the bidding war for Warner Bros Discovery with Paramount Skydance. On Thursday evening, Netflix announced it would not match Paramount's latest $31 per share bid or raise its $27.75 per share offer for Warner Bros' studio and streaming assets, stating the deal was "no longer financially attractive".

Investors welcomed the decision. Shares of the streaming giant had fallen over 18% since Netflix announced its deal with Warner Bros on December 5.

Ben Barringer, head of technology research at Quilter Cheviot, said: "What you want from a management team is an ability to look at acquisitions, value them, pay a fair price, but not overpay."

Shares of David Ellison-led Paramount rose 17%. Paramount's deal with Warner Bros, valued at $110 billion including debt, represents nearly 13 times Warner Bros' estimated EBITDA this year.

The deal still requires approval from Warner Bros shareholders and regulators. The merger could raise antitrust concerns and questions about political influence.

Source: www.aljazeera.com