US judge allows Paramount to close Warner Bros acquisition

Sept 30 (Reuters) - A ‌US judge entered ​an ​order on Wednesday that allows Paramount to close its acquisition of Warner Bros, ending a ‌months-long holdup for the $110 billion transaction.

US District Court ⁠Judge Araceli Martínez-Olguín approved a settlement between the companies and a ‌California-led group of states ‌that had alleged the deal would harm competition in film and television.

The settlement on September 21 paved the ​way for one of the largest media mergers in history. The group of 12 states had sought to ⁠block the merger in court, saying it would create a media behemoth with ​the power to raise prices in film and television.

The five-year agreement requires Paramount to adhere ​to theatrical film release quotas ‌and keep negotiations with cable providers for Warner-owned channels separate.

The settlement drew strong objections from groups ⁠opposed to the merger, some of whom filed letters urging the court to deny the settlement.

"These hopes and desires for ⁠the proposed consent decree to reach farther – to achieve more – do ​not rise to the level of legal violations upon which the court can reject the parties’ negotiated resolution," Martínez-Olguín said in ‌her order.

Paramount also agreed to establish an editorial board to ensure independence at the CBS ‌and CNN networks.

Martínez-Olguín on Wednesday called the deal a "reasonable ⁠factual and legal resolution," rejecting ‌arguments that the ​editorial board would violate the First Amendment.

(Reporting by Jody Godoy, Editing by Franklin Paul and David ‌Gaffen)

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