A new SEC filing has shown light on a hint that Vince McMahon may want out of WWE after the recent acquisition by Endeavor that saw WWE merge with the UFC.
McMahon is still under investigation by the federal government as a search warrant was served and executed by the feds after a federal grand jury signed off on a subpoena to McMahon on July 17. However, no charges have been filed against him yet in connection to the payments about allegations of sexual misconduct and infidelity since 2006.
As previously reported, Jacob Frenkel, the Chair of Dickinson Wright’s Government Investigations & Securities Enforcement Practice Group and a former senior counsel in the SEC’s Division of Enforcement, told the LA Times that McMahon could face criminal or civil liabilities that may force McMahon out of his WWE role.
After the merger, McMahon holds 28.84 million TKO shares, currently valued at $3 billion.
AXIOS has a story about the registration filings done by TKO and notes it enables him to avoid the lockup period that applies to other TKO stockholders like Endeavor and Silver Lake.
TKO first disclosed its registration plan on page 184 of an SEC filing in August. The filing notes McMahon, alongside two other TKO executives, “will be selling stockholders in this offering.” This would indicate McMahon’s eventual departure from the company.
TKO noted in a regulatory filing that “McMahon’s membership on our Board could expose us to negative publicity and/or have other adverse financial and operational impacts on our business. His membership also may result in additional scrutiny or otherwise exacerbate the other risks described herein. Any of these outcomes could directly or indirectly have adverse financial and operational impacts on our business.”
McMahon was seen using a cane to get up the stairs to the stage to speak with WWE employees this week after having spinal surgery this summer.
https://www.youtube.com/watch?v=XZXz7zvu6KI
