Warner Bros. Discovery has already agreed to sell its studio and HBO Max business to Netflix for $27.75 per share|Chris Yarzab|CC BY 2.0

Warner Bros. Discovery Inc. is thinking about reopening takeover talks with Paramount Skydance Corp. after the company improved its offer. The move could restart a bidding battle with Netflix.

Warner Bros. has already agreed to sell its studio and HBO Max business to Netflix for $27.75 per share.

But Paramount is offering $30 per share and has added stronger terms. It says it will pay the $2.8 billion breakup fee Warner would owe Netflix and help refinance its debt.

Paramount also promises to compensate shareholders if regulators delay the deal past December 31. CEO David Ellison has said this is not his final bid.

Meanwhile, Netflix has also hinted it could raise its offer. 

However, Netflix shares have dropped more than 40% since June, showing investors remain cautious about the deal.