Endeavor Group nearing deal to purchase WWE: reports
WWE, UFC will reportedly be merged into separate publicly traded company
WWE is close to being sold to Endeavor Group Holdings Inc., which also owns the UFC, according to the multiple reports.
The deal states that "Endeavor’s UFC business and WWE will form a separate publicly traded entity," per the Wall Street Journal.
Endeavor shareholders will have 51% of the company while WWE shareholders will retain 49%. The announcement of the deal is expected to come on Monday.
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WWE Chairman and CEO Vince McMahon speaks at a news conference announcing the WWE Network at the 2014 International CES at the Encore Theater at Wynn Las Vegas on January 8, 2014 in Las Vegas, Nevada. (Ethan Miller/Getty Images / Getty Images)
Paul "Triple H" Levesque, the head of chief content officer of WWE, was asked if he could confirm the report after WrestleMania 39.
"Nope," he simply responded.
WWE and Endeavor did not immediately answer FOX Business' request for comment.
Endeavor’s deal for the wrestling giant is expected to give it an enterprise value of $9.3 billion. The UFC is even more valuable at $12.1 billion, according to the Wall Street Journal.
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Cody Rhodes makes his entrance during WrestleMania 38 in Arlington, Texas, on April 3, 2022. (WWE via AP / AP Newsroom)
WWE majority owner Vince McMahon, who retired last year amid a sexual misconduct scandal, came back to the company in January looking to sell the company. McMahon was later elected executive chairman.
His daughter, Stephanie McMahon, had taken over alongside Nick Khan as co-CEO when McMahon retired. Stephanie McMahon has since stepped down as chairwoman and co-CEO.
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| WWE | NO DATA AVAILABLE | - | - | - |
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| EDR | ENDEAVOR GROUP | 30.48 | +0.11 | +0.36% |
Khan has mentioned to CNBC, though, that Vince McMahon is willing to leave the company in the event of the sale despite returning as executive chairman. However, the Wall Street Journal is hearing that he will remain in that position for the new company set up by Endeavor.
"Vince made it clear to me and to the marketplace that he does not need to be included in any offer or any deal moving forward, and he has held to his word on that as many of us predicted he would," Khan said this past week.
WWE Chairman and CEO Vince McMahon attends a press conference to announce a major international event, Wrestle Mania XXIX, at MetLife Stadium on February 16, 2012 in East Rutherford, New Jersey. (John W. Ferguson/WireImage / Getty Images)
Ari Emanuel, who serves as CEO of Endeavor, will be CEO of the new company as well.
Vince McMahon is the majority shareholder of WWE and could likely receive an estimated $2.6 billion from his shares when the sale goes through, per the Hollywood Reporter. As of this past Friday, WWE shares were worth $90.
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McMahon considers WWE his "life story," and he will retain exclusive rights to it in the event of a sale as well. So, books, documentaries and more can be done by him.
When McMahon retired, the Wall Street Journal previously reported that he paid more than $12 million in the past 16 years to "suppress allegations of sexual misconduct and infidelity."
Endeavor CEO Ari Emanuel is seen in attendance during the UFC 281 event at Madison Square Garden on November 12, 2022 in New York City. (Chris Unger/Zuffa LLC / Getty Images)
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McMahon built his father’s company into a powerhouse after purchasing it from him in 1982.
Fox Business’ Ryan Gaydos and Brie Stimson contributed to this report.