Which companies are leading to buy WWE after Vince McMahon's return?
Vince McMahon is back on the WWE Board and plans to sell the company are in motion with some huge buyers reportedly involved. The former Chairman recently replaced three members of the board with former directors Michelle Wilson and George Barrios on Friday.
Vince McMahon convinced WWE to include him in the BoD as he owns a vast portion of Class B Stock, which gives him majority voting power. He wouldn’t have approved any media rights sale unless the company adhered to his request. The 77-year-old is aiming for the Executive Chairman position while looking forward to selling WWE despite his legal troubles.
For those unknown, Vince McMahon announced his retirement in July 2022 after an investigation found he paid millions of dollars in hush money to four women for 16 years. The court case is ongoing, but the media is distracted by more interesting matters.
WWE has a market cap of $6.27 billion. The numbers rose significantly, nearly 17% on Friday when speculations of a potential sale ran rampant. The stock increased 12% upon closing Friday and is currently at 84.27 USD.
There are some huge companies on the lookout for when WWE goes under the hammer. According to CNBC Sports, “the company has hired JP Morgan for advise on a potential sale.” A sale could occur in the next three to six months when Vince McMahon negotiates media rights deals for its flagship programs - RAW and SmackDown.
Fox is a potential buyer for WWE. It currently holds the broadcasting rights for SmackDown. A more powerful bidder is Comcast, which owns NBCUniversal, the original network for Monday Night RAW, until October 2024.
Other heavyweight competitors include Amazon and Netflix. The streaming service giants have experience in sports entertainment, having televised Thursday Night Football and Formula 1, respectively. WarnerBros, Endevaour Group, and Disney are also part of the bidding bout.
Another major competitor could be interested in buying WWE from Vince McMahon
Saudi Arabia is also interested in buying WWE as per reports by Front Office Sports. The country’s Public Investment Fund (PIF) holds about $620 billion in assets and could prove to be a tough competitor in the bidding wars.
WWE and Saudi Arabia aren’t strangers. In 2018, both parties struck a lucrative 10-year agreement to hold two Premium Live Events per year. Crown Jewel and Greatest Royal Rumble are some blockbuster events for which the talent toured the Kingdom.
The Saudis have expressed worldwide interest in promoting sports in their country. PIF has been the majority owner of Newcastle United in the English Premier League since 2021. Last year, it spent nearly $2 billion on plans for LIV Golf on the PGA Tour.