almost 3 years ago • 1 min
Endeavor Group, owner of the UFC mixed martial arts competition and the William Morris talent agency, made an underwhelming addition to US stock markets on Thursday.
The company sold 21.3 million shares for $24 each in an initial public offering (IPO) on Wednesday. When trading began the next day, the stock initially climbed as much as 19% – before erasing all those gains and dropping 3% as of 12:20pm in New York.
Endeavor is just the second media firm to list on the US market this year, after Zhihu – a Chinese version of Quora – held an IPO in March. The Chinese firm also had a difficult debut, with the shares closing 11% lower on their first day of trading. They’re still barely changed from the IPO price of $9.50.
Endeavor reported a $992 million loss for 2020 on revenue of $3.5 billion. It had originally tried to go public in 2019 before abandoning the offering, citing unfavorable market conditions.
Endeavor’s CEO, the Hollywood mogul Ari Emanuel, is such a huge Tesla fan he’s nominated Elon Musk, the automaker’s CEO, to Endeavor’s board. We’ll have to wait and see if a little Musk magic can turn around the future of Endeavor’s shares.
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