Who owns UFC?

Who Owns UFC?

Who Owns UFC? UFC is currently owned by TKO Group Holdings, a subsidiary of Endeavor Group Holdings.

UFC, the Ultimate Fighting Championship, is a globally recognized mixed martial arts (MMA) promotion that has captivated audiences worldwide with its high-energy fights and larger-than-life personalities. But who actually owns this powerhouse in the combat sports arena?

Like other major corporations, UFC ownership is not limited to individuals. Instead, it is a complex web of individuals and organizations with various stakes in the company’s parent organization. Understanding UFC’s structure and ownership will illuminate the forces driving its success and influence in the industry.

Among the prominent figures with a stake in UFC is the talent agency WME-IMG (now Endeavor), which acquired a majority interest in the company in 2016. Endeavor is a well-established entity in the entertainment industry, representing an array of athletes, artists, and models. Their strategic investment in UFC made waves in the combat sports landscape, propelling the promotion to new heights.

However, it’s important to note that UFC’s ownership extends beyond WME-IMG and includes a diverse range of individuals and institutions. Major players such as Silver Lake Partners, KKR, and MSD Partners hold significant organizational stakes. These firms bring expertise and financial backing to ensure UFC’s continued growth and global expansion.

Moreover, UFC’s President Dana White is integral to the company’s ownership structure. White’s vision, leadership, and entrepreneurial spirit have been instrumental in shaping UFC into the powerhouse it is today. While not a majority shareholder, his influence and decision-making are pivotal in steering the organization’s direction.

Parent Organizations and Investors

TKO Group Holdings

UFC is currently owned by TKO Group Holdings. The company is a subsidiary of Endeavor Group Holdings, created due to a merger between World Wrestling Entertainment (WWE) and Zuffa, the Ultimate Fighting Championship (UFC) parent company. The merger, completed on September 12, 2023, brought together two major media conglomerates in the sports entertainment industry.

In this merger, Endeavor was expected to hold a controlling stake of 51% in TKO Group Holdings, while WWE’s shareholders would have a minority stake of 49%. This merger would have valued WWE at $9.1 billion, demonstrating the company’s significant value and potential.

One notable figure in TKO Group Holdings is Vince McMahon, the Chairman and CEO of WWE. McMahon received a 34% stake in the newly formed conglomerate as part of the merger. Recent data, however, shows that his percentage ownership in the company has decreased.

Besides McMahon, TKO Holdings has a diverse group of shareholders. Some of the significant shareholders include Eaton Vance Management, Vanguard Fiduciary Trust Co., Lindsell Train Ltd., BlackRock Advisors LLC, Ninety One UK Ltd., Darlington Partners Capital Management LP, Fidelity Management & Research Co. LLC, Independent Franchise Partners LLP, and State Street Corporation.

These shareholders hold varying percentages of ownership in TKO Group Holdings, ranging from 13.98% for Vincent McMahon to 2.053% for State Street Corporation. The combined value of their holdings signifies the confidence and investment placed in the new conglomerate.

TKO Group Holdings combines WWE and UFC, two significant entities in the sports entertainment industry. It is expected to have a dominant presence in the market. This merger allows for synergies between the two divisions and enhances TKO’s overall reach and impact.

As the parent company of UFC, TKO Group Holdings continues to shape the sport’s future while also drawing from WWE’s expertise and resources. The merger facilitates opportunities for cross-promotion, robust content creation, and potentially new ventures within combat sports.

Other Shareholders of TKO Group Holdings

  1. Vincent McMahon

Vincent McMahon is the former CEO of World Wrestling Entertainment (WWE). McMahon has been a critical figure in the entertainment industry for decades, overseeing WWE’s growth into a multimedia empire. Apart from WWE, McMahon’s interests extend to other ventures, including investments in sports and entertainment properties like UFC.

Equities: 11,505,411

Percentage: 13.98%

  1. Eaton Vance Management

Eaton Vance Management is a subsidiary of Morgan Stanley Investment Management that offers a range of investment strategies and wealth management services.

Equities: 6,278,689

Percentage: 7.627%

  1. Vanguard Fiduciary Trust Co.

Vanguard Fiduciary Trust Company, a subsidiary of The Vanguard Group, provides fiduciary and investment advisory services. The Vanguard Group is one of the world’s largest investment management companies, known for its index funds and low-cost investment options. Holding a significant stake in TKO Group Holdings indicates Vanguard’s interest in diversifying its investment portfolio across various industries, including sports and entertainment.

Equities: 5,995,356

Percentage: 7.283%

  1. Lindsell Train Ltd.

Lindsell Train Limited is a UK-based investment management firm known for its long-term investment approach and focus on high-quality businesses. The firm’s investment philosophy emphasizes investing in companies with substantial competitive advantages and sustainable growth prospects.

Equities: 5,885,133

Percentage: 7.149%

  1. BlackRock Advisors LLC

BlackRock Advisors LLC is a subsidiary of BlackRock, Inc., the world’s largest asset manager. BlackRock offers a wide range of investment products and services to institutional and individual investors globally.

Equities: 5,438,258

Percentage: 6.606%

  1. Ninety One UK Ltd.

Ninety One UK Ltd., formerly known as Investec Asset Management, is a global investment management firm headquartered in the UK. The company offers diverse investment strategies across equities, fixed-income, multi-asset, and alternative investments.

Equities: 3,507,786

Percentage: 4.261%

  1. Darlington Partners Capital Management LP

Darlington Partners Capital Management LP is an investment management firm focused on long-term value investing. The firm seeks to identify undervalued companies with solid fundamentals and growth potential. By holding equities in TKO Group Holdings, Darlington Partners likely sees UFC as a compelling investment opportunity with the potential for long-term value creation.

Equities: 2,120,406

Percentage: 2.576%

  1. Fidelity Management & Research Co. LLC

Fidelity Management & Research Company LLC is the investment management arm of Fidelity Investments, one of the largest asset managers in the world. Fidelity offers individual and institutional investors a wide range of investment products and services.

Equities: 1,876,888

Percentage: 2.280%

  1. Independent Franchise Partners LLP

Independent Franchise Partners LLP is an investment management firm specializing in global equity investing. The firm employs a concentrated investment approach, focusing on high-quality companies with sustainable competitive advantages.

Equities: 1,780,573

Percentage: 2.163%

  1. State Street Corporation

State Street Corporation is a leading financial services company providing investment management, research, and trading services to institutional investors worldwide.

Equities: 1,690,467

Percentage: 2.053%

Endeavor Group Holdings

Endeavor Group Holdings is a significant player in the ownership of the UFC. It is a global entertainment, sports, and content company focusing on talent representation, entertainment, and events. Endeavor was founded in 1995 as William Morris Endeavor (WME), a talent agency representing actors, musicians, and athletes. Over the years, it has expanded its operations and now owns various subsidiary companies, including the UFC.

As of the merger with WWE and Zuffa, Endeavor supposedly holds a 51% stake in TKO Group Holdings. Under the banner of TKO, WWE and UFC continue to operate as separate divisions, but benefit from the additional resources and expertise brought by Endeavor.

Regarding ownership within Endeavor Group Holdings, there are various notable investors. One of the major stakeholders is Silver Lake Management Co. LLC, which owns a 30.63% stake in Endeavor. Silver Lake is a global technology investment firm focusing on global growth markets. Their investment in Endeavor highlights the potential they see in the media and entertainment industry, particularly concerning sports and content.

GIC Pte Ltd., an investment management firm based in Singapore, holds a 7.006% stake in Endeavor. GIC manages Singapore’s foreign reserves and looks for investment opportunities globally.

Other notable investors in Endeavor Group Holdings include the Canada Pension Plan Investment Board, Ameriprise Financial Services LLC, Vanguard Investments Australia Ltd., JPMorgan Investment Management, Inc., Morgan Stanley Investment Management, Inc., MIC Capital Management UK LLP, TPG Group Holdings (SBS) Advisors, Inc., and XN LP. These investors have varying stake percentages and represent a diverse range of financial institutions and investment firms.

Shareholders of Endeavor Group Holdings

  1. Silver Lake Management Co. LLC

Ownership: 30.63%

  1. GIC Pte Ltd. (Investment Management)

Ownership: 7.006%

  1. Canada Pension Plan Investment Board

The Canada Pension Plan Investment Board (CPPIB) is a professional investment management organization that invests the funds of the Canada Pension Plan. It seeks to maximize returns without undue risk of loss.

Ownership: 7.006%

  1. Ameriprise Financial Services LLC

Ameriprise Financial is a diversified financial services company providing comprehensive financial planning, investment management, and other services to individual and institutional clients.

Ownership: 5.206%

  1. Vanguard Investments Australia Ltd.

Vanguard is one of the world’s largest investment management companies, known for its low-cost index funds and exchange-traded funds (ETFs). Vanguard Investments Australia Ltd. is the Australian subsidiary of Vanguard Group.

Ownership: 4.483%

  1. JPMorgan Investment Management, Inc.

JPMorgan Investment Management is a leading global asset management firm that offers investment solutions across a wide range of asset classes to institutions, financial intermediaries, and individual investors worldwide.

Ownership: 4.135%

  1. Morgan Stanley Investment Management, Inc.

Morgan Stanley Investment Management is the asset management division of Morgan Stanley, offering a wide range of investment products and services to individual and institutional investors globally.

Ownership: 3.751%

  1. MIC Capital Management UK LLP

MIC Capital Management UK LLP is a London-based investment management firm that specializes in private equity and other alternative investments. They focus on long-term value creation and strategic partnerships with their portfolio companies.

Ownership: 2.843%

  1. TPG Group Holdings (SBS) Advisors, Inc.

TPG Group Holdings is a global alternative asset firm with investments spanning private equity, growth equity, real estate, and public equity. TPG aims to create value by partnering with world-class management teams to build and grow companies.

Ownership: 2.201%

  1. XN LP

XN LP is an investment entity with holdings in various industries, including entertainment, technology, and real estate. They seek to generate returns through a diversified portfolio of investments across different asset classes and geographies.

Ownership: 1.900%

Conclusion

The Ultimate Fighting Championship (UFC) is currently owned by TKO Group Holdings, a subsidiary of Endeavor Group Holdings. This ownership arrangement resulted from the merger between World Wrestling Entertainment (WWE) and Zuffa, the parent company of UFC. The merger, completed in 2023, combined two significant players in the sports entertainment industry, solidifying Endeavor’s position in the market.

As UFC continues to grow and capture the attention of fans worldwide, its ownership by TKO Group Holdings under the Endeavor umbrella will undoubtedly play a significant role in shaping the organization’s future.

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