During the previous week, speculation about a WWE deal with UFC’s Parent Endeavor has increased, with even doubters claiming Vince McMahon is driven to sell. Sources inside and outside the organization speculated that prospective purchasers would be in Los Angeles during Wrestle Mania week, hoping to strike a deal with McMahon, CEO Nick Khan, and others involved in the sale process.
One of those suitors is said to be in “advanced talks” to buy the company. According to CNBC, Endeavor, the parent company of UFC, could be named WWE’s new owner as soon as tomorrow.
Endeavor would acquire 51% of WWE under the claimed agreement. WWE shareholders would keep 49% of the company. WWE’s enterprise value would be $9.3 billion, which corresponds to estimates that McMahon was seeking for the company he took over in the early 1980s for an estimated $1 million.
WWE and UFC are set to merge as part of a new publicly traded entity. The new company’s CEO would be Endeavor CEO Ari Emanuel, and its President would be Endeavor President Mark Shapiro. McMahon will serve as executive chairman. Current WWE CEO Nick Khan would lead the wrestling division, while UFC president Dana White would continue to lead the mixed martial arts division.
During an investor call last month, Emanuel appeared to dismiss Endeavor’s interest in acquiring WWE, but if CNBC’s claim is right, it was likely just his starting point.
McMahon’s Comeback and Endeavor’s Interest in WWE
If the agreement goes through, it will raise a fresh set of questions regarding WWE’s media rights strategy, given the current contracts for Raw, NXT, and SmackDown are all set to expire next year. It will also cap an incredible comeback for McMahon, who quit last July as the WWE Board of Directors investigated hush money and sexual misconduct charges against him. In January, he worked his way back into the Board, displacing those who had led the probe. He now has a chance to keep control of the operation while adding to his already vast riches.