World Wrestling Entertainment Inc. was headed for potentially the biggest drop in almost two years after Endeavor Group Holdings Inc. struck a deal to buy the entertainment conglomerate for $9.3 billion including debt.
The transaction values WWE at about $106 a share, before any post-closing dividend, the companies said in a statement on Monday, confirming an earlier report by Bloomberg News. The combined businesses will have an enterprise value of more than $21 billion, they said, with Endeavor holding a 51% controlling interest and existing WWE shareholders with a 49% interest. The company will be led by Ariel Emanuel, chief executive officer of Endeavor.
Existing WWE shareholders will roll all existing equity into a new entity that will aim to be listed on the New York Stock Exchange. The listing will expand the collective investor base to allow for broad market participation, the companies said.
