UFC and WWE to merge into new multi-billion-pound sports entertainment brand

Endeavor Group Holdings, Inc. and World Wrestling Entertainment, Inc. have announced that they have signed a definitive agreement to form a new, publicly listed company consisting of two “iconic”, complementary, global sports and entertainment brands: UFC and WWE.

Upon close, Endeavor will hold a 51 per cent controlling interest in the new company and existing WWE shareholders will hold a 49 per cent interest in the new company.

Together, UFC and WWE will have global reach, “impressive” scale and omnichannel distribution. On a combined 2022 fiscal year-end basis, UFC and WWE achieved revenue of $2.4bn and a 10 per cent annual revenue growth rate since 2019.

Ariel Emanuel, CEO of Endeavor, commented: “This is a rare opportunity to create a global live sports and entertainment pureplay built for where the industry is headed.

“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.”

Vincent K. McMahon, executive chairman of WWE, added: “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.”

“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 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.

“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.”

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.

Together, UFC and WWE expect to deliver an estimated $50m to $100m in annualized run rate cost synergies by leveraging, among other things, Endeavor’s back office and robust infrastructure.

By Matthew Neville – Senior Correspondent, Bdaily

• Add me on LinkedIn and Twitter to keep up to date
• And follow Bdaily on Facebook, Twitter and LinkedIn
• Submit press releases to editor@bdaily.co.uk for consideration.

Looking to promote your product/service to SME businesses in your region? Find out how Bdaily can help →