New Delhi, July 25 -- Federal regulators on Thursday approved Paramount's $8 billion merger with Skydance, clearing the way to close a deal that combined Hollywood glitz with political intrigue.

The stamp of approval from the Federal Communications Commission comes after months of turmoil revolving around President Donald Trump's legal battle with "60 Minutes," the crown jewel of Paramount-owned broadcast network CBS. With the specter of the Trump administration potentially blocking the hard-fought deal with Skydance, Paramount earlier this month agreed to pay a $16 million settlement with the president.

Critics of the settlement lambasted it as a veiled bribe to appease Trump, amid rising alarm over editorial independence overall. Furt...