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Endeavor could raise $700m+ with 2019 IPO

WME's parent company is expected to make available at least 19m shares when it goes public, worth at least $580m – and potentially as much as $712m

By Jon Chapple on 17 Sep 2019

Endeavor CEO Ari Emanuel

Endeavor CEO Ari Emanuel


image © Endeavor

WME Entertainment owner Endeavor could raise as much as US$712 million with its flotation later this year, according to the company’s latest filing with the US Security and Exchange Commission (SEC).

An amendment yesterday to Endeavor’s ‘form S-1’ –the document filed by American companies ahead of an initial public offering (IPO) – reveals the agency giant believes the value of its first 22m shares of class-A common stock could exceed $700m when they begin trading in late 2019.

Endeavor Group Holdings, Inc., the parent company of WME, sports agency IMG and martial-arts promoter Ultimate Fighting Championship (UFC), among other businesses, formally declared its intention to go public in May, with an initial valuation of $100 million ($100m is typically used in US as a placeholder before revealing the final figure).

Endeavor files $100m public offering

TheWrap reports that Endeavor reached its estimate by multiplying 22m registered shares by $32 apiece, which is the high end of what it expects to sell its stock for (the low end is $30). “Likely, however, Endeavor will only release 19-million-plus shares at the time of its initial public offering, an individual with knowledge of the plan tells TheWrap,” according to the site. “At $30 per share, that would raise just under $581 million. At $32, that figure jumps to more than $619 million.”

The IPO was originally planned for this summer, according to TheWrap, but was delayed while Endeavor acquires corporate hospitality company On Location Experiences.

 


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