The Ultimate Fighting Championship announced yesterday that they had completed the sale of their company for an incredible $4billion.
Bought out by William Morris Endeavour, IMG and MSD Capital, the UFC's sale was the largest sale of a franchise/promotion in the history of sport, netting the Fertitta brothers a cool profit on the $2million they paid to buy the company in 2001.
The sale of the UFC, for that much money, will certainly be of interest to the WWE. However, Vince McMahon and co. won't be too happy with the valuation of their company.
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According to a report from The Wrap, Wells Fargo has put an estimated value on the WWE if they were to put themselves up for sale.
The figure is less than how much the UFC just sold for. Apparently, the WWE has an approximate value of $3.4 billion.
Less than UFC
The UFC sale is actually good news for the WWE, potentially hiking their prices up in the event of a sale, but the sports entertainment company still wouldn't be able to touch the Mixed Martial Arts promotion.
“Although we view this as an interesting exercise in determining the potential value of WWE — in our opinion, Chairman Vince McMahon is NOT selling the company anytime soon,” Wells Fargo wrote in a Monday post.
“But with positive Network sub trends, a clean balance sheet, new TV rights deals just 2-3 years out, and now a clear sign of demand for somewhat similar content, we are raising our valuation range to $23-25 from $20-22.”
Vince McMahon is extremely competitive and will be angry that the UFC, which the WWE don't apparently see as a rival, is worth more than they are. Maybe they can scrape back that $600million in the next year or two.