Netflix shares jumped more than 10% on Friday as investors welcomed the company's decision to exit the bidding war for Warner Bros Discovery. On Thursday evening, Netflix declined to match Paramount's latest $31 per share offer or raise its $27.75 bid, stating the deal was "no longer financially attractive".

The decision was applauded by investors. Netflix stock had fallen over 18% since December 5 when the Warner Bros deal was announced. Co-CEOs Ted Sarandos and Greg Peters said in a statement: "We believe we would have been strong stewards of Warner Bros' iconic brands, but this transaction was always a 'nice to have' at the right price, not a 'must have' at any price."

Analysts praised Netflix's financial discipline. HSBC analysts noted: "A positive turn of events as Netflix's withdrawal allows it to refocus on its business while competitors grapple with merger processes."

Meanwhile, Paramount shares rose 17%. The company's $110 billion deal with Warner Bros still requires shareholder and regulatory approval.

Source: www.aljazeera.com