The UFC and WWE will join forces as a new publicly-listed company under the control of the Endeavor Group.
Endeavor - the parent company of the UFC - has announced a historic deal to buy WWE just hours after the flagship wrestling brand's showpiece Wrestlemania event.
An agreement revealed on Monday confirms that Endeavor will hold a 51 percent controlling stake in the new company, while WWE shareholders will receive 49 percent.
The company is valued totally at $21.4bn (£17.3bn), with UFC's enterprise value estimated at $12.1bn (£9.8bn) and WWE at $9.3bn (£7.5bn).
There has been speculation over a potential takeover of the WWE after founder and majority shareholder Vince McMahon said on his return in January that he was listening to sale offers.
And the wrestling giant's long-held status as a family-owned business is now over, with McMahon becoming the executive chairman of the new company, the same role he has been in with WWE.
CEO of Endeavor Ariel Emanuel, who is tasked with leading two of the world's biggest sports entertainment brands into a new era, said: “This is a rare opportunity to create a global live sports and entertainment pureplay built for where the industry is headed.
"For decades, Vince and his team have demonstrated an incredible track record of innovation and shareholder value creation, and we are confident that Endeavor can deliver significant additional value for shareholders by bringing UFC and WWE together."
It has also been confirmed that Dana White will stay on as UFC president, with Nick Khan serving as the WWE's new president. McMahon claimed in Monday's joint-statement the he sees the deal as an "exciting growth opportunity" for the WWE.
“Given the incredible work that Ari and Endeavor have done to grow the UFC brand – nearly doubling its revenue over the past seven years – and the immense success we’ve already had in partnering with their team on a number of ventures, I believe that this is without a doubt the best outcome for our shareholders and other stakeholders.
“Together, we will be a $21bn+ live sports and entertainment powerhouse with a collective fanbase of more than a billion people and an exciting growth opportunity.
"The new company will be well positioned to maximize the value of our combined media rights, enhance sponsorship monetization, develop new forms of content and pursue other strategic mergers and acquisitions to further bolster our strong stable of brands.
“I, along with the current WWE management team, look forward to working closely with Ari and the Endeavor and UFC teams to take the businesses to the next level.”
A new board of 11 directors will be named for the new company, consisting of six members appointed by Endeavor and five by the WWE.
