Paramount still plans to close WBD merger by end of September despite lawsuit

Paramount lead trial counsel Jeffrey Kessler defended the company's proposed acquisition of Warner Bros. Discovery on CNBC's "Squawk on the Street" on Tuesday, calling it "pro-competitive." Earlier this week, state attorneys general led by California's Rob Bonta filed a lawsuit seeking to block the deal due to antitrust concerns, particularly in the film and pay TV industries. Kessler said Paramount is still aiming to close the deal by late September as it awaits regulatory approval from the European Union.

Skydance is still aiming to close its proposed acquisition of Warner Bros. Discovery by the end of September despite a recent lawsuit filed by state attorneys general challenging the deal, Paramount's lead trial counsel Jeffrey Kessler told CNBC's David Faber in an interview on Tuesday.

On Monday, a group of state attorneys general led by California's Rob Bonta filed a lawsuit aimed at blocking the merger due to antitrust concerns. Later in the day, the group filed court papers seeking a temporary restraining order to put the deal on hold so that legal proceedings could move forward.

Either way, Kessler said that the company is prepared to bring the matter to the Supreme Court if it faced a prolonged blockade in closing the deal. "The company believes strongly in this," Kessler said of the combination of the entertainment and media companies.

Kessler told Faber on Tuesday the temporary restraining order came after Paramount "indicated" that its intention was to be able to close as early as July 22, when the company expects to have all regulatory clear.