Private equity firm Silver Lake, the biggest investor in Endeavor Group Holdings, announced it had agreed to a deal to take the talent and entertainment agency private for $13 billion, as announced by Reuters. As part of the deal, Endeavor stockholders will receive $27.50 per share in cash, representing a premium of 55% to the closing price of $17.72 before Silver Lake in October said it was working to take the company private. The deal is expected to close by the end of Q1 2025.
Silver Lake is the largest shareholder in Endeavor, owning about 31% of the outstanding shares as of December 31, 2023, according to LSEG data. Silver Lake stated last year it was working to take Endeavor private, after the entertainment giant announced that it had begun a review to explore alternatives that better value the company.
Ari Emanuel, CEO of Endeavor, Patrick Whitsell, Endeavor Executive Chairman, and Silver Lake collectively hold 91.5% of Endeavor's voting stock through a special class of shares, according to a regulatory filing.
The companies explained that TKO is not party to this transaction and will remain a publicly traded company. The transaction will be financed through a combination of new and reinvested equity from Silver Lake and additional capital anchored by investors including Mubadala Investment Company and DFO Management.