The Endeavor Group has formed new publicly-listed company through a merger between World Wrestling Entertainment (WWE) and Ultimate Fighting Champion (UFC).
The Endeavor Group, which already own UFC, will control the company which will be worth more than $21billion after WWE was valued at $9.3 billion and UFC at $12.1 billion.
Endeavor will hold a 51% controlling interest in the new company and existing WWE shareholders will hold the remaining 49%.
Endeavor is led by Hollywood power broker Ari Emanuel, meanwhile Vincent K. McMahon is the Executive Chairman of WWE.
“This is a rare opportunity to create a global live sports and entertainment pureplay built for where the industry is headed,” said Ariel Emanuel, CEO of Endeavor, in a press release. “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.”
“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,” said Vincent K. McMahon, Executive Chairman of WWE.
“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 maximise the value of our combined media rights, enhance sponsorship monetisation, 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,” McMahon added.
The new company will be led by Emanuel (Chief Executive Officer), who will also continue in his role as Chief Executive Officer of Endeavor, McMahon (Executive Chairman of the Board) and Mark Shapiro, who will be President and Chief Operating Officer of both Endeavor and the new company.
Dana White will continue in his role as President of UFC and Nick Khan will serve as President of WWE.
The Board of Directors will consist of 11 members who will be appointed at a later date, six of whom will be appointed by Endeavor and five of whom by WWE.