In the recent SEC filing released on Friday regarding WWE’s sale to Endeavor, it was disclosed that the company had engaged with over 60 “potential counterparties” regarding the sale. The filing, which was made in relation to the Endeavor acquisition, shed light on the extensive level of interest shown in WWE.
According to the statement, the parties involved in discussions included strategic companies, financial sponsors, family offices, and sovereign wealth funds. This diverse range of potential buyers reflects the widespread attention and market appeal of WWE as a global entertainment entity.
The sale between Endeavor and WWE was officially announced on April 3rd, shortly after the conclusion of WrestleMania 39. The SEC filing provides valuable insights into the extensive outreach and negotiations conducted by WWE throughout the process.
Beginning on January 17, 2023 and continuing until April 2, 2023, when WWE executed the transaction agreement, WWE’s financial advisors, acting on its behalf, contacted and were contacted by over 60 potential counterparties, including strategic companies, financial sponsors, family offices and sovereign wealth funds. Between February 6 and March 21, 2023, WWE entered into confidentiality agreements with 20 potential counterparties. All but one of the confidentiality agreements entered into by WWE in connection with this process included a standstill provision for the benefit of WWE with a customary exclusion permitting parties to make proposals to WWE privately and confidentially, and each of the standstill provisions had a duration of at least 12 months. All confidentiality agreements entered into with standstill provisions included the customary exclusion for private proposals and a “fallaway” provision that would allow the counterparty to make a proposal to acquire WWE in the event WWE entered into a definitive sale agreement. Each potential counterparty that had indicated interest in exploring a strategic transaction with WWE was provided an opportunity to enter into a confidentiality agreement with WWE.
