Ultimate Fighting Championship (UFC) parent company Endeavor Group Holdings Inc. and World Wrestling Entertainment Inc. (WWE) have announced a massive $21.4 billion merger.
The new, publicly listed sports and entertainment company will house the UFC and WWE brands. Endeavor will own a controlling 51% stake in the company, while existing WWE shareholders will own the other 49%.
The new company will be led by Endeavor CEO and Hollywood super-agent Ari Emanuel.
“This is a rare opportunity to create a global live sports and entertainment pureplay built for where the industry is headed,” Emanuel said in a press release.“For decades, [WWE Executive Chairman Vince McMahon] 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.”
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Dana White will remain president of UFC, while McMahon will serve as executive chairman with the new company.
"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," McMahon said. "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.
The deal values the UFC at just over $12 billion and the WWE enterprise at $9.3 billion.
Current WWE shareholders will roll their existing equity into the new company, which intends to be listed on the New York Stock Exchange under the ticker symbol "TKO."
The massive merger is expected to be completed later this year.
