The parent company of WWE and UFC is buying Professional Bull Riders, On Location, and IMG in a deal valued at $3.25 billion.
Professional Bull Riders is a bull riding league that has more than 200 annual live events, approximately 1.25 million fans, and reaches more than 285 million households in more than 65 territories. On Location provides premium experiences for fans attending more than 1,200 sporting events, such as the Super Bowl, Ryder Cup and NCAA Final Four. IMG is a distributor and producer of sports content, packages and sells media rights and brand partnerships, and provides consulting, digital services and event management to clients such as the National Football League and National Hockey League.
Parent company TKO said Thursday that the acquisition from Endeavor Group will complement its existing businesses as well as broaden its reach in the premium sports market.
As part of the deal, Endeavor will receive about 26.14 million common units of TKO Operating Co. and will subscribe for an equal number of shares of TKO’s Class B shares. Endeavor is expected to own approximately 59% of TKO, while TKO's existing shareholders will own the remaining 41% upon completion of the transaction.
The transaction is expected to close in the first half of next year.
TKO Group also announced Thursday that its board has approved the repurchase of up to $2 billion of its common stock.
Shares of TKO Group Holdings Inc., based in Stamford, Conn., rose more than 1% before the opening bell Thursday.
