Home Business UFC parent company Endeavor files papers to go public – MMA Fighting

UFC parent company Endeavor files papers to go public – MMA Fighting

47

The UFC’s parent company is going public.

On Thursday afternoon, according to a report from The Hollywood Reporter, the entertainment conglomerate, Edeavor (EDR), had filed the paperwork with the Securities and Exchange Commission.

According to a form on the SEC’s site, the company headed by Ari Emanuel and Patrick Whitesell, generated $3.61 billion in revenue for 2018 with a net income of $100.1 million after adjustments. The report also indicated Endeavor’s revenue increased drastically between December 2016 and 2017 “primarily due to the impact of the UFC Acquisition, increased revenue from media rights and a higher number of events and increased sponsorships at these events.”

However, the form also outlined several potential risks, including the possibility of being “sued over alleged long-term neurocognitive impairment arising from concussions” as well as collective bargaining:

“There have also been efforts to unionize the MMA athletes that participate in UFC’s events. A work stoppage at one or more of our operated venues or at our promoted events could have an adverse effect on our business, financial condition and results of operations. We cannot predict the effect that a potential work stoppage would have on our business.”

It should also be noted the form included the current class action lawsuits against the UFC:

“UFC is currently named in five related class-action lawsuits filed against it alleging that UFC violated Section 2 of the Sherman Antitrust Act of 1890 by monopolizing the alleged market for elite professional MMA athletes’ services. If we are unable to resolve these matters favorably, our business, operating results and our financial condition may be adversely affected.”

Let’s block ads! (Why?)

Source link