Endeavor Group, the sports and entertainment company that owns hospitality brand On Location, agencies WME and IMG, and IMG Arena, has announced the initiation of a formal review to evaluate strategic alternatives.
The Beverly Hills-headquartered business also operates TKO Group Holdings, which owns the World Wrestling Entertainment (WWE) and Ultimate Fighting Championship (UFC) brands, though Endeavor said it would not consider the sale of its interest in TKO.
Endeavor added that it has not set a deadline or definitive timetable for the completion of the strategic alternatives review process.
The process also may not result in any particular outcome, with Endeavor to only make an announcement if disclosure is necessary or advisable.
Ariel Emanuel, chief executive of Endeavor, said: “Given the continued dislocation between Endeavor’s public market value and the intrinsic value of Endeavor’s underlying assets, we believe an evaluation of strategic alternatives is a prudent approach to ensure we are maximizing value for our shareholders.”
Further reports have said that private-equity firm Silver Lake, which owns roughly 71% of the voting share of Endeavor, is making a proposal to take the company private. It also said that it would not be interested in selling its shares in Endeavor to a third party.