Could WME-IMG Aquire WWE Combining Two Major Sport/ Entertainment Franchises

[PEB]

Could UFC and WWE end up under one large entity. I am sure the possibility of the crossover appeal of some athletes like Ronda, McGregor, Lesnar as well the possibility of future athletes open a whole new business angle.

Do Sherdoggers think such an option even a possibility or even necessary. We have already seen the amount of press Ronda received with her performance in the WWE and of course Brock's UFC efforts.

In Japan this type of crossover was commonplace is it out of the question?

 

[Cro Cop Is Back]

Is normal

 

[Adamant]

I don't think Vince would ever sell.

 

[leatherneck]

? i sure hope not.

 

[Draper]

I don't think Vince would ever sell.

HHH and Stephanie McMahon would though. Vince is 70 years old.

 

[PEB]

I don't think Vince would ever sell.

I thought that too but the amount of money they are throwing around is a powerful motivator. Vince could pocket 2 or 3 billion dollars. I don't know with this much money on the line.

 

[PEB]

HHH and Stephanie McMahon would though. Vince is 70 years old.

Agree they would react very differently if they end up with control.

 

[batafrak]

Doubt they could find the money to do that. Took a lot of partners to find the $4 billion to buy this thing, and the WWE is worth a lot more.

 

[skolar182]

Doubt they could find the money to do that. Took a lot of partners to find the $4 billion to buy this thing, and the WWE is worth a lot more.

According to some analysts the WWE would likely sell for 2.7 Billion to 3.4 Billion. Both businesses are roughly in the same range as far as net worth is concerned.

"UFC had a revenue of $600 million in revenue in 2015, which was said to be "significantly" higher than 2014. As a comparison, WWE had revenue of $658.8 million in 2015, up a not-so-modest 21% from 2014. WWE's net income was $24.1 million in 2015. UFC's 2015 net income is not available because it is a private company.

Commenting on a comparable valuation from the UFC sale, Wells Fargo analyst Eric Katz said he thinks WWE could be worth $36-$44 per share, or more than double the current $20.53 price at the high-end of the estimated range.

Katz said based on UFC's EBITDA margins of 20-25% for ‘12-‘14, they believe the company generated $120-150MM in EBITDA for ‘15. This puts the sale at a valuation of 26.7-33.3x the UFC's ‘15 EBITDA.

Applying that multiple to the firm's ’17 EBITDA estimate for WWE of $102.8MM they get an equity valuation of $2.7-3.4B, or $36-44/share."

 

[datfnguy]

I don't think Vince would ever sell.

This

 

[datfnguy]

HHH and Stephanie McMahon would though. Vince is 70 years old.

Responded too soon. I agree with this too

 

[PEB]

Doubt they could find the money to do that. Took a lot of partners to find the $4 billion to buy this thing, and the WWE is worth a lot more.

I think the partnership team they put together could be thinking even bigger things. What looks like they were scrapping together money could have bigger implications.

Silver Lake and MSD " Michael Dell investment arm" can alone put up the billions needed. Silver Lake famously sold a company to Microsoft for a 6 billion dollar profit.

 

[PEB]

According to some analysts the WWE would likely sell for 2.7 Billion to 3.4 Billion. Both businesses are roughly in the same range as far as net worth is concerned.

"UFC had a revenue of $600 million in revenue in 2015, which was said to be "significantly" higher than 2014. As a comparison, WWE had revenue of $658.8 million in 2015, up a not-so-modest 21% from 2014. WWE's net income was $24.1 million in 2015. UFC's 2015 net income is not available because it is a private company.

Commenting on a comparable valuation from the UFC sale, Wells Fargo analyst Eric Katz said he thinks WWE could be worth $36-$44 per share, or more than double the current $20.53 price at the high-end of the estimated range.

Katz said based on UFC's EBITDA margins of 20-25% for ‘12-‘14, they believe the company generated $120-150MM in EBITDA for ‘15. This puts the sale at a valuation of 26.7-33.3x the UFC's ‘15 EBITDA.

Applying that multiple to the firm's ’17 EBITDA estimate for WWE of $102.8MM they get an equity valuation of $2.7-3.4B, or $36-44/share."

Thank you very good information.

 

[Mattitude V1]

MMA fans romanticize pro wrestling in a way that I'm not sure they even realize. First and foremost, if any sort of crossover was commonplace, it wouldn't be special. MMA crossovers almost killed New Japan Pro Wrestling.

Also, WWE is stigmatized in such a way that blurring that line would be negative for UFC.

 

[TexasProcessOperator]

Vince would never sell the WWE as long as he's still alive. Now if this were Ted Tuner we were talking about, hell yeah he'd sell WCW for that much before Corn Flake time in the morning. Which is one of the biggest factors the WWE won the war. Vince was ready to go to the furthest limits. Sports entertainment is that dude's life, whereas his competition was only concerned about profit. They went against a man they had no idea who they were dealing with. Point I'm making is Vince will go to his grave with that company under his control. Like someone else mentioned though, once he's gone, there's no telling WHAT the hell Triple H and Stephanie will do.

 

[Sjb1888]

Could UFC and WWE end up under one large entity. I am sure the possibility of the crossover appeal of some athletes like Ronda, McGregor, Lesnar as well the possibility of future athletes open a whole new business angle.

Do Sherdoggers think such an option even a possibility or even necessary. We have already seen the amount of press Ronda received with her performance in the WWE and of course Brock's UFC efforts.

In Japan this type of crossover was commonplace is it out of the question?

People already think I watch fake wrestling when I mention the UFC, so please no.

 

[k1ngjester]

HHH and Stephanie McMahon would though. Vince is 70 years old.

Considering how deep HHH is with production and NXT, I doubt it.

 

[lorenzofertatta]

Yes, we need more fights like Ignashov vs. dr. Death

 

[Dogo1]

If they can manage to gobble up 51% of the public wwe stock the yes.

 

[PEB]

MMA fans romanticize pro wrestling in a way that I'm not sure they even realize. First and foremost, if any sort of crossover was commonplace, it wouldn't be special. MMA crossovers almost killed New Japan Pro Wrestling.

Also, WWE is stigmatized in such a way that blurring that line would be negative for UFC.

I look at how Brock and Ronda made the crossover a positive for the UFC. The short term it seems to have worked. Now can they repeat that overtime your possibly right but I don't know.