Welcome to Extreme Investor Network, where we bring you the latest and most insightful business news in the market. Today, we have an exciting update on TKO Group, the company that owns WWE and UFC, as they are making a strategic move to expand their portfolio by acquiring three businesses for $3.25 billion from their controlling owner, Endeavor Group.
The businesses TKO is acquiring include Professional Bull Riders, On Location, and IMG, as announced recently. This deal is significant as it not only expands TKO’s sports focus beyond league operations but also ventures into luxury hospitality and media rights consultancy. With this acquisition, TKO’s ownership in Endeavor will increase from 53% to 59%, showcasing their commitment to growth and diversification.
Mark Shapiro, president and COO of both Endeavor and TKO, highlighted the importance of this deal, stating, “Sports unify us and have never been in more demand. At TKO, we’re primarily interested in league ownership and businesses that can power our sports ecosystem. That’s what we’re getting in IMG and On Location.”
Furthermore, PBR, the world’s largest bull riding league, will join TKO under this transaction, along with On Location, a provider of luxury hospitality for major sporting events, and IMG, a leader in media rights and brand partnerships. This move aligns with TKO’s vision to strengthen its sports ecosystem and enhance its market presence.
In addition to the acquisition, TKO also announced its plans to initiate an annual dividend of $300 million and authorize a share buyback program of up to $2 billion for its Class A common stock, demonstrating their commitment to creating value for shareholders.
Stay tuned for more exclusive insights and updates on the latest business news only at Extreme Investor Network. Join us as we navigate the dynamic landscape of the business world and uncover unique opportunities for growth and success.