Source Close To Vince McMahon Issues Statement On WWE Shareholder Lawsuit

An individual close to Vince McMahon has issued a statement on the WWE shareholder lawsuit having a pending agreement between the sides. As reported on Monday, the Delaware Court of Chancery Court Administrator, in confirming the trial had been cancelled, said that “the parties have advised the court that they will present the settlement for approval in due course.”

A source close to McMahon reached out to Fightful Select and other outlets with a statement, which alleged that a lawsuit like the shareholder one “follows every single transaction involving a public company.” They argued that the Endeavor bid for WWE was simply the best bid.

The lawsuit was filed in November of 2023 against Vince McMahon, Nick Khan, Triple H, George Barrios, and Michelle Wilson. It alleged that the TKO merger resulted in damages to WWE shareholders by undervaluing WWE. It alleged that WWE’s investigation into McMahon on sexual misconduct allegations was a “sham” and that McMahon manipulated the sale process to Endeavor for his benefit. The claim was that this ultimately breached the defendants’ fiduciary duty to shareholders.

A pre-trial briefing had been filed by the plaintiffs on Friday ahead of the trial that laid out their argument for why WWE was undervalued in the TKO merger. The plaintiffs cited an expert report by financial economist James L. Canessa, who the plaintiffs retained, which estimates damages to shareholders as a whole ranged from $446 million to $949 million. The trial was set to kick off on Monday before it was cancelled.

The full statement attributed to the source reads:

“This exact kind of litigation follows every single transaction involving a public company.

But here’s the key: Endeavor’s bid was by far the highest. It was signed off on by three separate independent banks – JP Morgan, Raine and Moelis. That’s why WWE’s Board of Directors gave their unanimous approval.

The deal created the premier combat sports company. And the shareholders made an absolute fortune.”