Endeavor Group Holdings have announced that they will be doing a formal review of strategic alternatives.
Endeavor Group Holdings, who owns TKO Group (WWE & UFC), has made it clear that TKO is not for sale.
In a press release that was sent out on Wednesday, Endeavor announced that the company will be doing “a formal review to evaluate strategic alternatives for the Company.” The review comes after the company’s stock closed at a 52-week low today of just $17.72.
Silver Lake, a global technology firm that owns 71% of Endeavor’s voting power, has been considering a proposal to take Endeavor private. You can check out their official statement below:
“Silver Lake is committed to strategies that deliver value for all shareholders of Endeavor. To that end, Silver Lake is currently working toward making a proposal to take Endeavor private. Silver Lake firmly believes in Endeavor’s business and is not interested in selling its shares in Endeavor to a third-party nor in entertaining bids for assets that are a part of Endeavor. Silver Lake is the owner of approximately 71% of the voting power of Endeavor. Our Co-Chief Executive Officer, Egon Durban, and our Managing Director, Stephen Evans, serve as members of the Executive Committee of the Board of Directors of Endeavor. Silver Lake has been a committed investor since 2012 and has made significant investments in Endeavor since then to support its growth.”
You can also check out Endeavor’s press release below:
Endeavor Announces Review of Strategic Alternatives
Endeavor Group Holdings, Inc. (NYSE: EDR) (“Endeavor” or the “Company”), a global sports and entertainment company, today announced the initiation of a formal review to evaluate strategic alternatives for the Company.
As part of this review of strategic alternatives, the Company will not consider the sale or disposition of the Company’s interest in TKO Group Holdings, Inc.
“Given the continued dislocation between Endeavor’s public market value and the intrinsic value of Endeavor’s underlying assets, we believe an evaluation of strategic alternatives is a prudent approach to ensure we are maximizing value for our shareholders,” said Ariel Emanuel, CEO of Endeavor.
Endeavor has not set a deadline or definitive timetable for the completion of the strategic alternatives review process, and there can be no assurance that this process will result in any particular outcome. The Company does not intend to comment further regarding the review of strategic alternatives until it determines disclosure is necessary or advisable.
