Vince McMahon is a self-made billionaire. He took WWE — then WWF — from ma and pa to an international juggernaut. He is by far the majority stockholder in the sports entertainment conglomerate based in Stamford, Ct.
On Wednesday, he sold off a big chunk — 4.1 percent — of his stock. The business maneuver translated into 3,204,427 shares in the sports entertainment promotion sold that are worth approximately $270 million:
The shares sold by Mr. McMahon represent approximately 4.1 percent of the Company’s total outstanding shares of Class A and Class B common stock. After the sale, Mr. McMahon beneficially owns 28,682,94 shares of the Company’s Class B common stock, which represents approximately 80.1 percent of the Company’s total voting power and approximately 36.8 percent of the Company’s total outstanding shares of common stock.”
The sale will benefit Alpha Entertainment, the company that is the foundation of the XFL. The league that lasted one season in 2001 is relaunching in 2020. Interestingly, the move came on a day when another developmental league, the AAF, said it was facing the possibility of discontinuing its play in its first season.
This marks the third major sale of WWE stock by McMahon. He sold 3.34 million shares worth around $100 million in December 2017. McMahon sold off 306,000 shares in November to net more than $23 million.
WWE skyrocketed after its new TV deals, which were signed in 2018. Shares have reached $90. It closed at $84.87, down 3.87 percent on Wednesday. The stock slid a bit more in after-hours trading, to $84.50.
The XFL should receive another injection of funds when it announces a TV deal. Reports have the league in talks with FOX and ESPN.
