It’s been quite the week for WWE as they announced their new domestic TV licensing agreement with NBCUniversal. While the company had indicated to investors they would double or triple what they made annually in TV licensing fees, the deal saw a moderate increase that underwhelmed.
Below is a complete timeline of events leading up to and following the announcement of WWE’s new deal with NBCUniversal:
Wednesday, May 14, 2014: WWE’s stock price closes strong on reports the company has reached a new domestic TV agreement with NBCUniversal.
Thursday, May 15, 2014: WWE announces new multi-year TV distribution agreement with NBCUniversal. It’s learned the company will increase annual TV licensing fees across the world to approximately $200 million.
Friday, May 16, 2014: WWE’s stock price drops over 45% as Wall Street reacts to the news.
Friday, May 16, 2014: Vince McMahon’s net worth declines nearly 1/3, losing over $340 million as a result of the selloff. The hit is strong enough to take him off the billionaire’s list. According to the real-time wealth tracker of Forbes, McMahon’s net worth is now estimated at $750 million (down from an estimated $1.2 billion in March 2014).
Friday, May 16, 2014: WWE announces that Vince McMahon and Chief Financial Officer George Barrios will hold a Business Outlook conference call on Monday morning at 11 AM EDT.
Friday, May 16, 2014: Lemelson Capital Management, a private investment management firm, announces they have a stake in shares of WWE and are calling on the Board of Directors to replace the executive management team or explore the sale of the business.
Saturday, May 17, 2014: Former Attorney General of Louisiana, Charles C. Foti, Jr., Esq., a partner at the law firm of Kahn Swick & Foti, LLC, announces that KSF has commenced an investigation on whether WWE and/or its officers and directors violated state or federal securities laws.