UFC parent company Endeavor has confirmed a merger with the WWE, creating a publicly traded company, expected to trade under the TKO ticker symbol on the stock market, with an estimated value of $21.4 billion.
In a major merger announcement, Endeavor and WWE confirmed on Monday that they have agreed in principle for Endeavor to purchase WWE, bringing both companies under the same umbrella. The newly formed publicly traded company will continue to operate both UFC and WWE under it, and will trade under the TKO ticker symbol on the stock market.
The transaction values the UFC at $12.1 billion and the WWE at $9.3 billion, creating a $21.4 billion sports and entertainment powerhouse that is expected to increase its worth rapidly. The synergies between the two companies can increase cross-promotion opportunities and attract more fans.
While UFC president Dana White’s leadership position will continue following the merger, he will no longer have any ownership stake in the company. The ownership of the new company will consist of Endeavor owning 51% of the stock, while WWE shareholders will make up the remaining 49% ownership.
White’s net worth is still estimated to be more than $500 million, even though he missed out on a possible $1 billion payday. The deal has been agreed upon by Endeavor’s and WWE’s executive boards but is awaiting regulatory approval. The UFC-WWE merger is expected to be finalized in the second half of 2023.
In conclusion, the merger of UFC and WWE under one umbrella creates a formidable powerhouse in the sports and entertainment industry. It will be interesting to see how the merger affects both companies and their fans, and what new opportunities will arise as a result of the corporate restructuring.