Vince McMahon has returned to WWE to shake things up in terms of selling his creation to the biggest corporate giants. The Boss left the company abruptly, but came back even more shockingly to pursue the sale and make a big payday for the global juggernaut he created over the period of four decades. However, recent reports suggest that he is looking for a hefty amount that is much more than the company’s worth.
Bloomberg reports that, according to people familiar with his thinking, Vince McMahon is aiming to receive up to $9 billion from the sale of World Wrestling Entertainment Inc. That has been his sole prime focus since his return this year.
The people, who asked to remain anonymous because the talks are private, claimed that the company has already received offers. Furthermore, WWE has opted not to respond to the same.
The asking price is 37% higher than the company’s estimated $6.5 billion current market value. Due in part to buyout rumors, WWE stock has increased 29% this year in order to meet their goal.
The Ultimate Fighting Championship owner Endeavor Group Holdings Inc. and Middle Eastern investors who have already made significant investments in golf and soccer are on the list of potential purchasers for WWE. Although Endeavor’s market valuation of $10.4 billion is only slightly higher than what McMahon is seeking, the company has already demonstrated in the UFC that it can integrate and expand a sports-media organization with a contentious founder.
Saudi Arabia has already expressed interest in purchasing Formula One from Liberty Media Corp as it begins to make significant investments in media and entertainment. According to WWE Chief Executive Officer Nick Khan, called the allegation of a deal in place for WWE with Saudi Arabia is “absolutely incorrect.” Check back at Ringside News as we follow up on this story.
What is your take on this story? Sound off in the comments!