Vince McMahon Considers Sale of WWE as Shares Rise 30%

All Elite Wrestling (AEW) is exploring the possibility of merging with World Wrestling Entertainment (WWE). AEW is a professional wrestling league owned by the Khan family, who also own the National Football League’s Jacksonville Jaguars and the Premier League’s Fulham F.C. The sources suggest that the Khans may be looking to partner with a strategic media company to merge the wrestling leagues while sharing the intellectual property. AEW currently has a television carriage rights agreement with Warner Bros. Discovery’s TNT and TBS.

This news comes as a surprise as AEW is a relatively new company in the wrestling world, having only been established for a couple of years. However, it has quickly gained a reputation as a major competitor to WWE. A merger with WWE would likely provide AEW with access to the larger company’s resources and global reach, which could help to increase revenue and reach new audiences.

It is important to note that there are still many unknowns and unanswered questions surrounding this potential merger, and it remains to be seen whether or not it will actually happen. The wrestling industry is a billion-dollar industry and the merger would be a significant change for both companies and the industry as a whole. Fans of the sport will be closely following developments in this story in the coming weeks and months.

The possibility of Vince McMahon, the controlling shareholder of World Wrestling Entertainment (WWE), merging his company with the smaller All Elite Wrestling (AEW) is considered unlikely by industry insiders. According to sources, AEW has not had any discussions with McMahon or Nick Khan, the company’s CEO. McMahon may view a sale to the Khan family, who also own the National Football League’s Jacksonville Jaguars and the Premier League’s Fulham F.C, as unfavorable.

What is the status of an ongoing deal between AEW & WWE?

The Khan family, led by sports tycoon Shahid Khan, is open to discussing a potential role for McMahon after a potential sale, but no talks have occurred yet. It is uncertain what type of position McMahon would want in the company after a sale, but it is clear that WWE is a more established and larger organization than AEW. McMahon, who is known as the primary creative force behind WWE’s storylines, is worth over $3 billion as of July.

It is important to note that the potential merger is still in its infancy stage and any talks or decisions are yet to be made. Even though, Shahid Khan is ranked 292 on the Bloomberg Billionaires Index with a net worth of $7.56 billion and owns Flex-N-Gate, an auto parts manufacturer. The merger, if it does happen, will have a significant impact on the wrestling industry and fans of the sport will be closely following developments in this story in the coming weeks and months.

Why WWE is on sale?

World Wrestling Entertainment (WWE) is reportedly considering a potential sale of the company before renewing its television rights, which are set to expire in 2024. This news comes as the company’s shares have risen 30% this year, with a market capitalization of over $6.6 billion and $1.28 billion in revenue in the last 12 months. The company has hired Raine Group as its lead financial advisor and Kirkland & Ellis as its legal advisor.

On the other hand, All Elite Wrestling (AEW) president Tony Khan has previously announced that the company was on track to generate over $100 million in revenue in 2022.

Mergers of WWE in the last decade

There is some history of rival wrestling leagues merging, as WWE (then called WWF) acquired WCW from Turner Broadcasting in 2001. A number of potential buyers, such as Comcast, Endeavor, and Netflix, may be interested in purchasing WWE if Vince McMahon, the controlling shareholder of the company, decides to move forward with a sale. McMahon recently returned to the company as its executive chairman, following his retirement in July amid sexual misconduct allegations. He has stated that his presence on the board is necessary to convince potential buyers that he is serious about a deal.

It is important to note that the company’s decision to explore a sale is still in its early stages and any talks or decisions are yet to be made. Fans of the sport will be closely following developments in this story in the coming weeks and months.

This news comes as a surprise to many in the wrestling industry, as AEW has only been in existence for a little over two years, while WWE has been the dominant player in the wrestling world for decades. However, AEW has quickly made a name for itself as a major competitor to WWE, thanks in large part to its successful live events and weekly television show, “Dynamite.”

The reasons for AEW’s interest in a merger with WWE are not yet known, but it’s possible that the company sees the potential for significant growth and expansion by joining forces with the larger wrestling organization. Additionally, a merger would give AEW access to WWE’s vast resources and global reach, which could help the company reach new audiences and increase revenue.

On the other hand, WWE may be hesitant to merge with AEW due to the potential loss of control over the company and its brand. Additionally, WWE has a strong financial position and a well-established fan base, which may make it less inclined to take on the risk of a merger.