David Ellison has appointed Ynon Kreiz as co-CEO of the combined Paramount Skydance and Warner Bros. Discovery entity, set to close on Tuesday. Kreiz, the outgoing CEO of Mattel, will share leadership duties with Ellison at what will be called simply Skydance.
The new company unites Paramount and Warner Bros. film studios, the CBS broadcast network, pay-TV networks including CNN, TNT, MTV and BET, and streaming services Paramount+ and HBO Max. The merger is valued at roughly $110 billion on an enterprise basis.
Kreiz brings 30 years of media industry experience. He is best known for shepherding the Barbie film to the screen in 2023, which generated more than $1.4 billion at the global box office. Before taking the Mattel job in 2018, Kreiz served as CEO of Maker Studios (sold to Disney in 2014) and as CEO and chairman of Endemol Group, one of the world's largest independent television production companies. He also co-founded Fox Kids Group Europe, which Disney acquired in 2002.
At Mattel, Kreiz reversed a four-year revenue downturn. He implemented structural improvements including eliminating stock-keeping units, rationalizing business lines, and cutting approximately $1 billion in costs. He also restructured the supply chain, reduced toy production, closed manufacturing facilities and cut 2,200 employees. The company returned to profitability within roughly two years.
According to the company, Ellison will focus on long-term strategy, creative vision, technology and capital allocation, while Kreiz will handle day-to-day management and integration of the merged businesses.
Wall Street analysts offered mixed assessments. Matthew Condon at Citizens Bank called the appointment positive, noting Kreiz's operating experience and IP focus position him to lead integration and build the company into "a best-in-class content and IP platform." Matthew Dolgin at Morningstar wrote that while Kreiz is experienced, "we don't necessarily think he is the best conceivable choice to handle this task." Dolgin added that although Kreiz holds the title of co-CEO, Morningstar views him as a chief operating officer. Eric Handler at Roth Capital Partners called it "an excellent choice for Paramount."
Gerrick Johnson at Seaport Research Partners noted that Kreiz's structural improvements at Mattel, including rapid cost-cutting and supply chain rationalization, will help Skydance navigate the complex merger, which the source material indicates will rely significantly on expense synergies.