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What happened: World Wrestling Entertainment (WWE) defined its early 2010s programming with its “NXT” brand. This reality-style show eventually became a combination series and funnel for new talent to star in its events for TV and pay-per-view streaming. The company pinned its hopes in the mid-2010s on its WWE Streaming Network, which ended in 2021 when NBC’s Peacock service absorbed WWE’s programming. All of that culminated in a $219M year of net income for the company in 2020, followed by $218M in 2021. The next year would be defined by misconduct charges against Vince McMahon, who would ultimately step down as chairman and CEO, only to return to the chairman role in 2022. Why it matters: WWE, which was rumored for weeks to be seeking a sale for as much as $9B, instead secured a deal to merge with Endeavor Holdings, the parent company of UFC, to create a new company valued at $21.4B. Where to see the impact: WWE took expensive bets over the past decade, managing experiments that didn’t work out. Instead of the potential sale of the company in the wake of allegations against McMahon, the merger deal will allow him to keep the executive chairman seat while Endeavor CEO Ari Emanuel will take the reins of the new company. |
