WME-IMG acquires martial arts league UFC for $4 billion

NEW YORK: UFC, the premier mixed martial arts promoter, has been sold for about $4 billion to a group led by Hollywood talent agency WME-IMG and backed by private-equity firms Silver Lake Partners LP, KKR & Co and the investment firm of Michael Dell.

“UFC has experienced tremendous growth over the last decade and we are looking forward to helping the organisation and its athletes identify new opportunities to develop and further establish their global footprint,” WME co-chief executive officer Ari Emanuel said in a memo.

The deal was first reported by the New York Times. UFC is owned by brothers Lorenzo and Frank Fertitta, who bought the company for $2 million in 2001.

Buoyed by fighters such as Ronda Rousey and Conor McGregor, UFC has grown into a billion-dollar business that stages sold-out events in arenas around the world, and reaches a pay-per-view audience that now rivals that of boxing’s most recent biggest fights.

UFC’s parent company is Las Vegas-based Zuffa LLC, which has been seeking an investment for months.

UFC President Dana White and an investment arm of the Abu Dhabi government hold a 10 per cent stake in the business. The sale comes as companies and networks seek opportunities for live content, which is broadcast via not only traditional TV but digital properties, too.

UFC has 260 million fans, and reaches 1.1 billion television households, according to a company fact sheet.