Paramount and Warner Bros. are officially becoming one … a historic merger — and a huge Hollywood twist after Netflix bowed out yesterday of the race as the finish line was in sight.

Paramount and Warner Bros. Discovery agreed to the deal Friday … after months of speculation over who would acquire the iconic Warners.

David Ellison, chairman and CEO of Paramount, said in part … “From the very beginning, our pursuit of Warner Bros. Discovery has been guided by a clear purpose: to honor the legacy of two iconic companies while accelerating our vision of building a next-generation media and entertainment company.”