Vince McMahon’s presence in the WWE has been almost non-existent in recent months, but with the eventual sale of his stake, his involvement in the business appears to be ending. (WWE Network recording)
Vince McMahonexecutive president of TKOthe parent company of WWEplans to sell a significant portion of its shares in the company, valued at approximately USD 700 millionsaid a company statement released on Thursday. That sale includes 8.4 million of its shares, out of the more than 28 million the company owned in August, according to a regulatory filing.
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Following this announcement, the actions of TKOa sports entertainment company who also owns it UFCfell 5% after Thursday’s close, closing at $84.90 in regular trading, CNBC reported.
McMahon78, was a dominant figure in the professional wrestling industry For four decades he was not only the founder of the fighting empire, WWE.
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This move could be an indication that the famous promoter has plans to exit the family business, a possibility that has been latent in recent months. Previously, in September 2023, WWE merged with UFC to form TKO, a company now majority owned by Endeavor Groupthe talent agency and media company from Ari Emmanuel.
The CEO has also been in the spotlight over allegations of sexual misconduct. In August, WWE announced that McMahon had been subpoenaed by a federal grand jury in connection with allegations that he paid millions of dollars in hush money to women who accused him of sexual misconduct.
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McMahon said at the time that he “has always denied any intentional crime and will continue to do so.” Additionally, he took time off due to illness in July after undergoing spinal surgery.
Aside from that, Make an effort is exploring strategic alternatives as its market value has not met expectations since its IPO in 2021. Silver LakeEndeavor’s largest shareholder said this could lead to the company being taken private, as detailed by CNBC.
TKO was launched in September with the aim of combining both concepts, MMA and wrestling, to reach more fans around the world. (Zuffa LLC/Michelle Farsi)
Bleacher Report claimed that the departure of McMahon could be imminent. A file of Securities and Exchange Commission (SEC) prepared by TKO On Tuesday he explained that the consistency of the founder of WWE could result in “negative publicity and/or other adverse financial and operational impacts.” It also added that McMahon’s presence could subject the company to “further scrutiny or otherwise exacerbate the other risks described in this document.”
The 78-year-old CEO resigned after it was revealed that he had used company funds to make illegal payments to several former employees who had made allegations of sexual harassment or misconduct WWE for a time before returning in January to facilitate the merger with the UFC. The wrestling company’s former CEO remains the executive president of TKObut it seems his departure could come sooner rather than later.