(Bloomberg) -- Shari Redstone is contemplating the sale of her interest in the Paramount Global movie and TV empire, a deal that could lead to more than $13 billion in asset sales, including the CBS network.

Redstone has held talks with Hollywood producer David Ellison, the son of billionaire Larry Ellison, and RedBird Capital Partners, about an acquisition of her family’s stake in the business, according to people familiar with the matter. 

A buyer of Redstone’s stake could generate $13.5 billion by selling Paramount’s TV networks, including CBS and Showtime, according to Wells Fargo & Co.’s Steven Cahall. 

The remaining businesses, including the Paramount Pictures film studio and production operations behind shows like the hit TV series Yellowstone, could be worth $19 billion, or around $23 a share, he said.

Shares of Paramount were down about 1% Tuesday morning in New York at $16.09.

Proceeds from asset sales would be used to reduce Paramount’s $15.6 billion in long-term debt by two-thirds. Cahall’s analysis also envisions new owners closing the Paramount+ streaming service, which is projected to lose $1.6 billion this year.

Whether a sale actually occurs is in the hands of Redstone, who is Paramount’s chairperson and controls 77% of the voting shares through a family holding company, National Amusements Inc.

Representatives of Redstone, Ellison and RedBird all declined to comment. The websites Deadline and Puck reported on the talks last week.

Activision Blizzard Inc. CEO Bobby Kotick, who is leaving that company at the end of the month, has also held talks with Redstone about a potential sale, the Wall Street Journal reported on Monday. The newspaper also said Paramount is considering layoffs of 1,000 workers early next year. A spokesperson for the company declined to comment on any job cuts.

Paramount, like a lot of legacy media companies, is coping with a shift in viewing away from traditional TV networks toward streaming. Advertising on broadcast and cable channels has been weak, while the new streaming services lose money as they launch in new markets and invest in programming. 

Position: ‘Untenable’

Paramount’s current position is “untenable,” according to Sanford C. Bernstein analyst Laurent Yoon. Its streaming business is too small to compete with rivals like Netflix Inc.

A restructuring is needed, Yoon said, but for current management that would be “like performing an open-heart surgery on themselves, and they could use some help.”

Ellison has backed Paramount films such as Top Gun: Maverick and Transformers: Rise of the Beasts. His Skydance Media was valued at more than $4 billion in a financing last year. Ellison’s interest may also attract other investors, such as private equity firms and rival media companies, according to Yoon..

In November, Paramount adopted a severance plan for its top executives in the event they are terminated due to an acquisition of the company. 

A deal is far from certain, however. Barclays analyst Kannan Venkateshwar said in a research note that a change in Paramount’s ownership is “tough to get behind.” 

There’s a relatively small pool of buyers for Paramount’s businesses, and other media assets, such as Warner Bros. Discovery Inc., may also be up for sale, according to Venkateshwar.

“We continue to be skeptical of a deal ultimately being realized,” he said.

--With assistance from Lucas Shaw.

(Updates with shares.)

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