The private equity firm with 71% of the voting power of Endeavor is exploring options to take the company private including purchasing the company per Sportico. However, it is not looking to sell TKO Holdings, the new property which includes the WWE and UFC.
Endeavor, which is valued at $8.4 billion, indicates that it believes it is undervalued and is looking for strategic alternatives to better reflect its holdings. Endeavor head Ari Emmanuel stated in a press release, “[G]iven the continued dislocation between Endeavor’s public market value and the intrinsic value of Endeavor’s underlying assets, we believe an evaluation of strategic alternatives is a prudent approach to ensure we are maximizing value for our shareholders.”
Endeavor went public in April 2021 at $24 per share but after peaking at almost $35 per share in December 2021, it has come back down to hover around $22-$25 per share.
The plan may be based upon the recent acquisition of talent agency Creative Artists Agency CAA is valued at $7 billion.
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