Endeavor aiming up to $ 700 million from proposed IPO next fall

The IMC parent company Endeavor is eyeing to raise $620 million from its upcoming IPL. The company, according to reports, has revealed that it expects a price between $30 and $32 per share for its initial public offering.

Reports in various business media publication have varied the company’s expectations from $ 600 million to $712 million. Endeavor is the parent company of WME, UFC, IMG, Endeavor Content, Professional Bull Riders with various other assets.

The company is reportedly aiming to offer 19.4 million shares to public with another 2.9 million shares likely to be offered to the IPO underwriters, like Goldman Sachs, JP Morgan and Morgan Stanley, the company said in a Securities and Exchange Commission filing.

The company’s market cap is expected to be around $8 billion. Endeavor shares are set to trade on the NYSE under the symbol EDR.

The company plans to use $500 million of the IPO proceeds to pay down debt and another $46.8 million for working capital and general corporate purposes. It may also use the proceeds for acquisitions, according to the filing.

Led by CEO Ari Emanuel and executive chairman Patrick Whitesell, Endeavor had  first filed its IPO paperwork in May last. The offering was delayed pending the close of the $700 million acquisition of hospitality and live events company On Location Experiences. The company will have a complex stock structure, with CEO Ari Emanuel and chairman Patrick Whitesell holding super-voting Class Y shares that will help them keep control of the company. Emanuel and Whitesell will each own 18.7% of the company after the IPO.

Launched in 1898 as the William Morris Agency (WMA) in New York City, the company is longest-running talent management agency in the World, which has managed icons like Charlie Chaplin and Marilyn Monroe.

The company’s portfolio of services includes talent representation, event management, marketing and licensing, content development, content distribution and sales and direct-to-consumer offerings.


Also read: Endeavor Content Group shows positive results before IPO