The parent company of the UFC just made another splash. This morning, Endeavor Group announced that they had agreed to purchases World Wrestling Entertainment. With the purchase of WWE, the plan is for Endeavor to create a new company where the UFC and WWE will live under one roof.
Endeavor CEO Ari Emanuel said, “This is a rare opportunity to create a global live sports and entertainment pureplay built for where the industry is headed. For decades, Vince and his team have demonstrated an incredible track record of innovation and shareholder value creation, and we are confident that Endeavor can deliver significant additional value for shareholders by bringing UFC and WWE together.”
Of course, the WWE has becoming a global powerhouse on the back of Vince McMahon. McMahon took over the company from his father and turned the company into a multi-billion dollar business. McMahon also commented this morning on the announcement.
“Given the incredible work that Ari and Endeavor have done to grow the UFC brand – nearly doubling its revenue over the past seven years – and the immense success we’ve already had in partnering with their team on a number of ventures, I believe that this is without a doubt the best outcome for our shareholders and other stakeholders.”
McMahon continued, “Together, we will be a $21+ billion live sports and entertainment powerhouse with a collective fanbase of more than a billion people and an exciting growth opportunity. The new company will be well positioned to maximize the value of our combined media rights, enhance sponsorship monetization, develop new forms of content and pursue other strategic mergers and acquisitions to further bolster our strong stable of brands. I, along with the current WWE management team, look forward to working closely with Ari and the Endeavor and UFC teams to take the businesses to the next level.”
UFC and WWE
With the new company, Endeavor will hold 51% of controlling interest while 49% will go to WWE’s current shareholders. Ari Emanuel will continue to lead Endeavor and he will also be the CEO of this newly formed company housing both WWE and the UFC.
McMahon will be the Executive Chairman of The Board, Mark Shapiro will serve as President and COO of the newly formed company. Meanwhile, Dana White will remain in his role as the President of the UFC. From the promotion’s standpoint, nothing is changing.
White did comment on the news stating, “The company has been on fire for the last seven years and now that we will be adding WWE to the portfolio, I am excited to take this to another level. Vince is a savage in the wrestling space, Ari is a beast at what he does, and then add what we at the UFC bring to the table and there is no limit to what this company can accomplish in the next few years.”