Ari Emanuel, the new executive chairman of WME Group, is taking out $175.8 million in cash as Endeavor is acquired by Silver Lake Partners. The transaction announced this morning creates a private company its new owner valued at $25 billion
Endeavor stakeholders are rolling chunks of their current ownership into the new private entity, but not all. Emanuel, who is also CEO of TKO Group, amended his rollover commitment to extract the cash. He is rolling over significant ownership interest in the old Endeavor valued at $290.3 million, which is $26 million more than initially agreed upon last year, according to SEC filings.
Endeavor co-founder Patrick Whitesell has rolled $265.7 million into the privately held entity, which is $50 million more than was originally agreed upon. With the close of the transaction, he received the balance of his equity — $100 million — in cash.
Whitesell is exiting Endeavor/WME to launch a new investment venture with Silver Lake and $250 million in seed money.
Other executives including WME Group President and Managing Partner Mark Shapiro, UFC CEO Dana White and Endeavor CFO Jason Lublin are rolling ownership interests into the new company.
An SEC filing a year ago specified that when the sale closes Emanuel and Whitesell would each be given of one of Endeavor’s private planes. That is still the case.
Emanuel, as per an earlier filing, has declined a $25 million transaction bonus for asset sales.
