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Paramount’s Gulf-backed takeover of Warner Bros. Discovery is set to close on October 6 after the company secured roughly $52 billion in financing. Meanwhile, a CNN investigation has raised questions about Jared Kushner’s business interests as his investment firm remains the largest shareholder in an Israeli financial group with stakes in military-linked companies. And oil prices are holding nearly steady as the US prepares to deploy at least 10,000 more troops, a third aircraft-carrier strike group and additional Marines to the Middle East.

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One Architect of Board of Peace for Gaza, Jared Kushner’s Investment Firm Linked To Israeli Military Suppliers

What Happened

Jared Kushner’s private equity firm, Affinity Partners, is the largest shareholder in Israel’s Phoenix Financial, which has invested hundreds of millions of dollars in Elbit Systems and stakes in at least eight other companies supplying equipment to the Israeli military, according to a CNN investigation. Kushner has also played a key diplomatic role in US efforts over the Gaza war while serving as a volunteer envoy to the Trump administration.

Why It Matters

The findings raise questions about potential conflicts between Kushner’s business interests and his diplomatic activities. Affinity does not directly own the military-linked companies identified by CNN, but it benefits financially if Phoenix’s investments gain value. Affinity sold about a quarter of its Phoenix stake in July for more than $340 million, according to CNN.

What’s Next

Kushner’s attorney said he has never directed Phoenix’s investment decisions or influenced its holdings, while the White House said his business activities are separate from his diplomatic work. Further scrutiny could follow, with House Democrats having already indicated they intend to investigate Kushner’s activities if they regain control of the chamber.

Gulf-backed Paramount-WBD Deal Set to Close on October 6

What Happened

Paramount has secured about $52 billion in bonds and loans to finance its Gulf-backed acquisition of Warner Bros. Discovery, with the deal now scheduled to close on October 6. The financing was announced after a federal judge approved Paramount’s settlement with 12 US states, lifting the order that had blocked the merger since July.

Why It Matters

Investor demand for the financing was strong. The $30 billion investment-grade portion attracted more than $109 billion in orders, allowing Paramount to reduce the bond offering and shift $2 billion into its term loan. L’imad, PIF and QIA are providing about $24 billion in equity alongside the debt.

What’s Next

After closing, L’imad is expected to hold 12.8% of Paramount’s non-voting equity, compared with PIF’s 15.1%, according to Paramount’s FCC filing. The company had faced $7 million in daily delay payments from September 30. Citigroup, Apollo Global Management and Bank of America led the financing.

Oil Prices Unchanged as US To Send 10,000 More Troops To Middle East

What Happened

Oil prices were nearly unchanged in early Friday trading as the US prepares to expand its military presence in the Middle East. Washington plans to deploy at least 10,000 additional troops, a third aircraft-carrier strike group and a Marine expeditionary unit by the end of November, according to the Wall Street Journal. Brent crude was at $102.20 a barrel, while WTI stood at $92.61.

Why It Matters

The deployments signal that the US-Iran conflict could continue despite diplomatic efforts, including Qatar’s push for negotiations. Tensions are also rising around the Strait of Hormuz, where UKMTO reported that a tanker was struck by an unknown projectile and caught fire.

What's Next

Iran has said it remains committed to resolving issues diplomatically, while the US is preparing additional forces for the region. The Strait of Hormuz remains a key flashpoint, with both sides claiming control. Further attacks or disruption to shipping could put renewed pressure on energy markets and Gulf economies.

👨‍💻From Smashi Business’ Desk

• Emirates NBD customers are reporting disruption to the ENBD X app, with some saying they can't deposit money and that the problems have lasted several days.

• Dubai-born fragrance brand KAYALI will enter China on October 15.

• Saudi-born dining platform SPICE has ruled out offering cashback on shisha or alcohol at partner restaurants as it keeps its rewards model aligned with Islamic principles.

• Uber will invest $50 million in Jordan over the next three years, targeting the country’s mobility ecosystem while supporting economic opportunities, tourism and access.⁠

• Dubai Crown Prince HH Sheikh Hamdan just shared his Etihad Rail ticket on Snapchat as Dubai-Abu Dhabi passenger services prepare to launch on September 30.

🔍In other news…

• Rolls-Royce signs first Saudi licence for high-speed engines

• Man City appeal Premier League financial ruling

• UAE and Oman earn oil revenue windfall from Iran war

• Mena sovereign investment set to fall from 2025 peak

• Saudi Arabia planning Oman pipeline, says Total CEO

🦄 World of Startups

• erad: raises $22m Series A led by MEVP; new backers include 500 Global, SVC and ANB Capital; Shariah SME finance in KSA and UAE.

• Amaani (AIZA): raises $5m Series A led by
  BECO Capital with Homegrown Ventures and Peak XV Surge; $8m total; Saudi retail next.

• Shorooq and Presight: join Maven Robotics' $100m Series A via Presight-Shorooq Al and Bedaya funds; their cheque sizes undisclosed.

• Rela: Saudi workforce-housing startup takes undisclosed strategic investment from Yazeed Al Rajhi & Brothers Holding to scale its network.

• ITIDA × JICA: Innovation Bridge Egypt × Japan opens; ICT startups pitch PoCs against 7 Japanese corporate challenges; apply by 17 Oct.

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