Paramount announced Wednesday the appointment of Mattel CEO Ynon Kreiz as co-CEO as the company finalizes its merger with Warner Bros. Discovery, creating a major new media conglomerate. Kreiz will be responsible for overseeing daily operations and managing the complex integration of the combined businesses, while Paramount Chairman and CEO David Ellison will focus on strategic initiatives and technological developments.

The move comes as the $81 billion merger between Paramount and Warner Bros. Discovery nears completion following a legal challenge by California Attorney General Rob Bonta. The merger had faced delays due to antitrust concerns but received judicial approval Wednesday when U.S. District Court Judge Araceli Martínez-Olguín approved a settlement resolving the dispute.

Kreiz, who has served as Mattel’s CEO since 2018, will step down from his role at the toy company, which also named Roger Lynch, currently CEO of Condé Nast, as its new chief executive. Sources familiar with the transition said Kreiz is leaving Mattel seeking greater influence and leadership opportunities, noting his ambitions extend beyond managing a division.

Industry insiders view Kreiz as a significant executive addition for the newly enlarged media group, which will unite Paramount Pictures, Warner Bros., streaming platforms Paramount+ and HBO Max, and television networks including CBS and CNN. The Israeli-American executive’s background in entertainment and global business operations is seen as a key asset during the merger’s integration phase.

Before joining Mattel, Kreiz was president of Maker Studios and played a pivotal role in negotiating its sale to Disney. He also served as CEO of the European production company Endemol. During his tenure at Mattel, Kreiz steered the company through challenges posed by the COVID-19 pandemic and tariffs imposed during the Trump administration. However, analysts noted that Mattel’s sales growth has been lackluster in recent years, with flagship brand Barbie experiencing declines despite the 2023 success of the Warner Bros. film starring Margot Robbie and Ryan Gosling.

The leadership changes at Paramount come amid a broader executive reshuffle. On Tuesday, Cindy Holland, Paramount’s streaming chief, announced her departure, with indications that HBO’s Casey Bloys may assume responsibility for the combined streaming businesses after the merger closes.

With regulatory clearance secured, Paramount is poised to finalize the merger in the coming days and is expected to make further announcements regarding its top leadership structure in the near future.