Paramount Skydance Corporation (PSKY  ) faces potential regulatory opposition in the United Kingdom regarding its planned $110 billion acquisition of Warner Bros. Discovery Inc. (WBD  ). British Culture Secretary Lisa Nandy said on Tuesday that she is "minded to intervene" in the transaction, citing concerns over its impact on domestic media diversity. Media Plurality Concerns Prompt Government Action

The proposed transaction involves the acquisition of CNN, HBO, the Warner Bros. movie studio and additional Warner Bros. Discovery assets. In a statement to CNN, Nandy confirmed that her department formally contacted the current and proposed owners.

"Following engagement with the parties and independent research, my Department has today written to the current and proposed owners of Warner Bros Discovery on my behalf to inform them that I am minded to intervene," Nandy stated.

U.S. DOJ Clearance Contrasts With UK Review

The UK development follows recent regulatory milestones for the merger in other jurisdictions. Earlier in June, the U.S. Department of Justice Antitrust Division cleared the $110 billion deal without requiring divestitures or behavioral remedies. Regulators in Australia and New Zealand also approved the transaction.

Alongside the Culture Secretary's public interest review, the UK Competition and Markets Authority is conducting an independent investigation, with an August 7, deadline to determine if the case requires a phase-two review.

Paramount Maintains Third-Quarter Closing Timeline

Paramount continues to target a transaction closure by the third quarter of 2026. Responding to the UK government statement on Tuesday, a Paramount spokesperson told CNN, "We are grateful for the continued constructive engagement with all interested government bodies and relevant authorities, including in the UK. We are confident that our proposed transaction does not pose any media plurality issues in the UK and remain confident in our stated transaction timeline."

Paramount did not immediately respond to Benzinga's request for comment.

Critical Price Levels To Watch For PSKY

From a trend perspective, PSKY is still in a bearish structure: it's trading 3.7% below the 20-day SMA ($10.14), 6.8% below the 50-day SMA ($10.47), and 23.8% below the 200-day SMA ($12.81). The 20-day SMA sitting below the 50-day SMA, plus the 50-day below the 200-day, keeps the longer-term bias pointed down unless price can reclaim those mid-term averages.

• Key Resistance: $11.50 - a nearby round-number/pivot area where rebounds can stall before the stock gets back toward longer-term averages
• Key Support: $8.50 - a nearby floor near the lower end of the 52-week range where buyers have previously stepped in