WWE and TKO’s parent company, Endeavor, is the topic of a category motion lawsuit over its privatization.
Rosen Law Firm, a world investor rights firm, filed a grievance on behalf of sellers of Endeavor Class A typical stock between January 15, 2025 and March 24, 2025 within the Western Division of California’s Central District Court. Rosen is asking for plaintiffs to come back forward with a deadline of March 18, 2026.
The suit looks to get well purported damages on behalf of investors in consequence of allegedly false, misleading statements, omissions of fabric facts in a January 15, 2025 SEC filing and subsequent filings.
The grievance alleges the filing misled investors regarding the true value of Endeavor’s shares, didn’t adequately disclose the earnings of executives under the terms of the take-private merger with Silver Lake in March 2025, and didn’t disclose conflicts of interests with Endeavor’s special committee and financial advisor. Robbins Geller Rudman & Dowd law firm is also asking for plaintiffs to come back forward regarding the motion.
Endeavor acquired WWE from Vince McMahon in 2023, merging the corporate with UFC to create TKO Group Holdings; McMahon served as Executive Chairman under Ari Emanuel prior to his resignation in January 2024 after Janel Grant filed a sex trafficking lawsuit against him and WWE.
The corporate can be subject to a lawsuit from shareholders alleging McMahon had preempted the sale to Endeavor, against his fiduciary duty, to make sure he remained with the corporate post-merger.