McMahon sells WWE: Vincent McMahon merges WWE with UFCs parent group Endeavor
Vincent McMahon will stay the chief of WWE but he will not be the CEO of the new company. Ariel Emanuel will head the merged entity, which claims to have a brand value of $21 billion
McMahon sells WWE: For majority of WWE fans across the world, the first image that strikes their mind related to combat sports is Vincent McMahon and her daughter Stephanie McMohan.
McMahon family has been at the helm of affairs of WWE for nearly 70 years.
However, they will no longer hold the reins anymore as the company has merged with Endeavour Group Holdings, the owner of the Ultimate Fighting Championship (UFC).
Media reported that the merged company will be known as Endeavor and will have a brand value of $21 billion. WWE is valued at $9.3 billion, while the UFC is worth $12.1 billion.
As per the deal, Endeavor will be the majority stakeholder, while WWE will own 49 per cent shares.
However, the CEO of the company will be Ariel Zev Emanuel, who was chief executive at Endeavor.
McMahon (Executive Chairman of the Board) and Mark Shapiro, 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.
Though McMahon will be the head of WWE and will retain his current title of executive chairman, but Endeavor will have six out of 11 board of directors and will have more say in decision-making.
"This is a rare opportunity to create a global live sports and entertainment pureplay built for where the industry is headed," said Ariel Emanuel in a statement.
McMahon said, "The new company 'will be well positioned to maximise the value of our combined media rights."
McMahon also said that the new company will be involved in other mergers and acquisitions.
The deal is expected to close in the second half of this year. Endeavor is claiming that once the deal is completed, it will save $50 million to $100 million costs.
WWE was founded in January 1953 as Capitol Wrestling Corporation by the McMahon family.
The company underwent several name changes before becoming World Wrestling Entertainment in 2002.
The company, however, adapted its current name of WWE in 2011.
UFC, however, is comparatively quite younger than WWE.
It was founded in 1993 as American Mixed Martial Arts in Las Vegas.
But the organisation grew manifold under the stewardship of White, who has been the chief of the UFC since 2001.
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