Three Gulf-based investment funds are nearing agreements to provide financial backing for Paramount's proposed $81 billion acquisition of Warner Bros. Discovery, according to reports from the Wall Street Journal.

The commitments from the Middle Eastern entities are expected to help offset costs associated with the transaction for the Ellison family, which is leading the takeover effort. The Gulf funding is reported to total approximately $24 billion, representing a significant portion of the deal's financing.

The proposed acquisition would combine two major media and entertainment companies, creating a substantial consolidated entity in the streaming and content production landscape. Paramount Global operates streaming services including Paramount+ and Pluto TV, while Warner Bros. Discovery owns HBO Max, CNN, and Warner Bros. film studios.

The involvement of Gulf sovereign wealth funds reflects the region's continued investment in Western media and entertainment assets. These funds have increasingly sought diversification opportunities in the entertainment sector as part of broader investment strategies.

Details regarding the specific terms of the Gulf funding commitments and the timeline for finalizing the agreements have not been disclosed. The transaction would still require regulatory approval and shareholder consent from both companies involved.