CNBC reports that Ari Emanuel’s Endeavor (ticker: EDR) will acquire WWE (ticker: WWE).
- CNBC is in a position to know the deal outcome as its parent company Comcast (ticker: CMCSA) is a WWE partner and was the natural acquirer in our view.
- As we wrote last week, dark horse Endeavor is in the events / pay-per-view business via its ownership of the UFC. Endeavor founder and CEO Ari Emanuel has been bold since acquiring the UFC – especially in his acquiring real estate in Las Vegas and signing off on a deal with Abu Dhabi – both investments enabled the UFC to hold live events during the COVID peak.
- It would make sense for Endeavor to spin off the UFC and WWE into a separately-traded public company in order for those two operating units to achieve a full valuation.