Warner Bros Discovery (WBD) is reportedly considering selling smaller assets, including a stake in its video game division. The company faces substantial financial challenges and wants to avoid a significant corporate breakup. As a result, WBD seeks ways to streamline operations without undergoing a complete structural overhaul.
Since its formation in 2022, WBD’s stock price has fallen almost 70%. This huge drop has prompted CEO David Zaslav and CFO Gunnar Wiedenfels to evaluate various options to reverse the decline. While a potential breakup of the company was considered, officials felt that it would only create complex operational challenges and potential legal issues. This is where the decision to sell parts of its gaming division came into play.
Warner Bros Discovery’s gaming division includes studios such as NetherRealm (Mortal Kombat) and Player First Games (MultiVersus). Additionally, other big studios at WBD are Rocksteady (Batman Arkham series) and Avalanche Software (Hogwarts Legacy).
WBD’s management believes the company should be worth significantly more in the future. However, they acknowledge that the market condition isn’t entirely favorable right now and that “a lot of things have to go well”. Regardless, Warner Bros Discovery feels that selling its video game division is the best first step.
In the meantime, there are a few things to look forward to for some Warner Bros products. NetherRealm Studios revealed the Khaos Reigns story DLC for Mortal Kombat 1. The DLC will include six new characters: Sektor, Cyrax, Ghostface, Conan the Barbarian, Noob Saibot, and the T-1000.
Lastly, Player First Games revealed the MultiVersus trailer for Samurai Jack and a wallpaper featuring Beetlejuice and Animaniacs characters. The game is getting a new ranked mode, where players can unlock Samurai Jack costumes, so stay tuned.
