WWE and the UFC are set to merge into a new publicly traded company. They hope to start selling on the open market in a couple of months, as soon as the government approves their merger. Now, it seems that they might have another legal loophole to jump through.
Ademi LLP is investigating whether WWE’s board of directors are fulfilling their duties to all shareholders by obtaining a fair and reasonable price for WWE. The law firm happens to specialize in shareholder litigation involving buyouts, mergers, and individual shareholder rights throughout the country. After all, WWE insiders will receive substantial benefits as part of change of control arrangements.
In a press release sent out by the law firm, shareholders of WWE are encouraged to contact Ademi LLP for more information on the investigation. It seems that they are really looking to build a case to halt this deal.
Ademi LLP investigates whether World Wrestling Entertainment, Inc. has obtained a Fair Price in its transaction with Endeavor
MILWAUKEE, April 3, 2023 /PRNewswire/ — Ademi LLP is investigating WWE (NYSE: WWE) for possible breaches of fiduciary duty and other violations of law in its transaction with Endeavor.
Ademi LLP alleges WWE’s financial outlook and prospects are excellent and yet the transaction values WWE’s shares at only approximately $106 per share (before any post-closing dividend) with Endeavor holding a 51% controlling interest in the new company and existing WWE shareholders holding a 49% interest in the new company. The transaction agreement unreasonably limits competing bids for WWE by imposing a significant penalty if WWE accepts a superior bid. WWE insiders will receive substantial benefits as part of change of control arrangements.
We are investigating the conduct of WWE’s board of directors, and whether they are (i) fulfilling their fiduciary duties to all shareholders, and (ii) obtaining a fair and reasonable price for WWE.
If you own WWE common stock and wish to obtain additional information, please contact Guri Ademi either at email@example.com or toll-free: 866-264-3995, or https://www.ademilaw.com/case/world-wrestling-entertainment-inc.
We specialize in shareholder litigation involving buyouts, mergers, and individual shareholder rights throughout the country. For more information, please feel free to call us. Attorney advertising. Prior results do not guarantee similar outcomes.
Toll Free: (866) 264-3995
Fax: (414) 482-8001
This investigation has the potential to impact WWE’s ongoing business operations and its future, and shareholders will be closely monitoring any developments in this case. Only time will tell if it makes a dent in WWE’s momentum as they approach the final stages of the merger.
WWE and UFC’s partnership could see a lot of things change for both companies. We don’t know a ton of specifics right now, but it seems that plans for WWE’s new headquarters are still on, and WWE talent might get a little more leeway online when it comes to OnlyFans. Then again, the company is still under Vince McMahon’s control.
We’ll have to see where this story goes from here. WWE and UFC will likely finalize their deal, because they have a lot of pull, and money invested in the situation. Hopefully, it doesn’t mean the end of WWE as we know it.
What’s your take on the WWE and UFC merger? Would you like to stop it from going down? Sound off in the comments!