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Endeavor Sets $10 Billion Valuation, Aims to Raise $500 Million-Plus in IPO

Ari Emanuel’s powerhouse agency is looking to go public for the second time since 2019

In its second attempt at going pubic, Endeavor on Tuesday announced in a filing with the SEC it’s looking to score a valuation of $10 billion when it makes its Wall Street debut. According to the filing, the Beverly Hills-based entertainment company plans on offering 21.3 million shares priced between $23-$24 when it goes public, aiming to raise a little more than $511 million.

Another key point from Endeavor’s SEC filing: the firm is looking to buy out the remaining 49% of the UFC by raising an additional $1.8 billion through selling preferred shares. Endeavor said it will trade on the New York Stock Exchange under the “EDR” ticker symbol.

The company, spearheaded by founding partner Ari Emanuel, debuted in 1995. Endeavor recently shared it made $3.5 billion in revenue in 2020 — down from $4.6 billion in sales the year prior — while also racking up a loss of about $1.2 billion over the last two years. Endeavor’s wide-ranging business includes being the parent company of WME, UFC and IMG Media, among other ventures. In its filing on Tuesday, Endeavor said the COVID-19 pandemic has had a “significant”near-term impact on its business, leading to its revenue drop last year.

“We experienced disruption across our business units and geographies given the hiatus of live sports and entertainment events coupled with film and television series production stoppages and the interruption of the school year and sports camp schedule,” Endeavor said in its filing. “We navigated the early phase of the crisis by undertaking all appropriate measures to address the safety of our personnel, taking necessary steps to ensure adequate liquidity to fund operations, imposing cost cuts, and reducing and realigning our workforce to best position the business for future success.”

Endeavor added its “focused our time during this period to explore innovation and identify ways to become a more efficient company.” This includes developing “new digitally focused in-home entertainment business models” that complement its core operation.

Other noteworthy points in the filing include Endeavor saying it paid $200 million in January to acquire Reigning Champs, a company that offers “recruiting and admissions services and related software products to high school student athletes,” as the filing put it. Endeavor also closed a deal earlier this month to acquire EDH Tennis for $60 million, per its filing.

For more details on Endeavor’s second push to go public, read TheWrap’s full breakdown by clicking here.