Two of the most popular combat sports entities in the world, WWE and UFC, have merged under a single company called Endeavour Group, the value of which is estimated to be $21.4 billion.
Endeavour Group has sent shockwaves around the world of sports and entertainment after announcing its merger between UFC and WWE, two of the most iconic sports entities in USA. The agreement is said to be valued at over $21 billion and the merger is targetted at creating a global combat sports and sports entertainment powerhouse.
The emerging company, which is currently being called “NewCo” will be owned 51% by Endeavour, the owners of UFC. WWE shareholders will own the remaining 49% of the newly formed company.
The WWE and UFC are two of the most recognised sports entertainment organisations in the world and have been at the forefront of innovation and audience service for decades while also creating value for their respective shareholders.
The merger is being viewed as a wonderful but rare opportunity to create a new era of global sports and entertainment built for where the industry is headed.
Ariel Emanuel, CEO of Endeavor, expressing his excitement, stated "We are confident that Endeavor can deliver significant additional value for shareholders by bringing UFC and WWE together."
It is not surprising that the announcement has been met with a wildly positive response from the fanbases of both major brands as well as the major shareholders. Having combined their fanbases, the new company managing both WWE and UFC is looking at a cumulative fanbase of over 1 billion people.
Vincent McMahon, the WWE Executive Chairman, has welcomed the merger stating that it is the best outcome for the shareholders with a dynamic advance towards becoming a "$21+ billion live sports and entertainment powerhouse."
Ariel Emanuel will head the company as CEO and WWE’s Vince McMahon will serve as Executive Chairman of the Board. Mark Shapiro is expected to perform the role of President and Chief Operating Officer for both Endeavour and the newly formed merged company called “NewCo.”
UFC Supremo Dana White will continue in his position as President of UFC whereas Nick Khan will also continue in his role as President of WWE.
The Board of Directors will comprise 11 members who will be appointed later, six of whom will be appointed by Endeavor and five by WWE.
Given the monumental nature and magnitude of the merger, Endeavour Group Holdings has now emerged as the highest valued sports company in the world. With WWE worth $9.3 billion and the UFC valued at a staggering $12.1 billion, Endeavour Group’s value of $21.4 billion puts it ahead of the $20.8 billion-valued Liberty Media by a big margin.
The third spot on the list is claimed by Kroenke Sports & Entertainment, who are the owners of Premier League side Arsenal.