Rumor: UFC in talks with China Media Capital, asking $6 billion

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Silverball

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Feb 24, 2015
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Why Manchester City are set to strike it rich in booming China


Manchester City's deal with China Media Capital (CMC), struck in December, could have “enormous” financial benefits.


And it could see them become the leading football club in East Asia, according to Rob Wilson, a sports economist at Sheffield Hallam University.


CMC paid ÂŁ265million for a 13 per cent stake in the City Football Group (CFG), the holding company that owns City, New York City and Melbourne City, just a few weeks after China's president Xi Jinping had completed a visit to the Blues' football academy.

source
 

Silverball

Member
Feb 24, 2015
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Manchester City F.C. ownership and finances

Since August 4th 2008, the club has been owned by Sheikh Mansour, one of football's wealthiest owners, with an estimated individual net worth of at least ÂŁ17 billion with a family fortune of at least $1 trillion Sheikh Mansour bought the club in 2008 for ÂŁ210 million in a much publicised deal and has since accumulated annual losses of ÂŁ535 million, excluding approximately ÂŁ200 million on facility upgrades. However the value of the club has soared nearly fivefold from ÂŁ210 million in 2010 to ÂŁ900 million in 2015 according to Forbes representing a realistic opportunity of profit on Mansour's investment if he was to sell the club to a willing buyer.

Mansour bin Zayed bin Sultan bin Zayed bin Khalifa Al Nahyan (born 20 November 1970), commonly known as Sheikh Mansour, is the deputy prime minister of the United Arab Emirates, minister of presidential affairs and member of the ruling family of Abu Dhabi. He is the half brother of the current President of UAE, Khalifa bin Zayed Al Nahyan.



Manchester City F.C. ownership and finances - Wikipedia, the free encyclopedia
 

Andrewsimar Palhardass

Women, dinosaurs, and the violence of the octagon.
Jan 8, 2016
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It depends on exactly what is sold. If Zuffa is sold the answer is yes, the new shareholders inherit the liability of the lawsuit against it. If, on the other hand, certain assets are disposed of it may be possible to structure sale in a way that new ownership is not responsible for the underlying litigation.
What if they only bought all of the fighter's contracts?
 

ErikMagraken

Posting Machine
Apr 9, 2015
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What if they only bought all of the fighter's contracts?
There are ways for Zuffa to dispose of assets so that the purchaser does not attract liability. The question is why would Zuffa want to do that? They would have no interest in selling their valuable assets (ie current fighter contracts) while keeping the liability from their company's past actions. Zuffa would presumably want to sell it all, assets and liabilities. Any prospective purchaser would need to make a business decision about the financial drawback of the ongoing litigation and assess the company's net worth accordingly.
 

Andrewsimar Palhardass

Women, dinosaurs, and the violence of the octagon.
Jan 8, 2016
5,234
6,806
There are ways for Zuffa to dispose of assets so that the purchaser does not attract liability. The question is why would Zuffa want to do that? They would have no interest in selling their valuable assets (ie current fighter contracts) while keeping the liability from their company's past actions. Zuffa would presumably want to sell it all, assets and liabilities. Any prospective purchaser would need to make a business decision about the financial drawback of the ongoing litigation and assess the company's net worth accordingly.
I didn't consider the fact that someone has to be liable. Selling a business can't erase a suit. This is all a very interesting development.
 

Silverball

Member
Feb 24, 2015
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UFC joins the Abu Dhabi family

January 13, 2010

Abu Dhabi entered the world of mixed martial arts yesterday when Flash Entertainment confirmed it had bought a 10 per cent stake in the Las Vegas firm that owns the Ultimate Fighting Championship (UFC).

The Fertitta brothers' company that owns UFC, Zuffa LLC, was estimated to be worth US$1 billion (Dh3.7bn) by Forbes in May 2008. Money, according to Lorenzo Fertitta, was not the driving factor in partnering with Flash. "We don't need to raise any money; that wasn't the purpose," he said. "If we were going to bring somebody in, it was going to be with someone that could really be a true strategic partner and could help create an increased value for the company long-term."



source
 

Ted Williams' head

It's freezing in here!
Sep 23, 2015
11,283
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Anyone know why they'd be looking at selling? Is business getting that bad?

I do think it's sad. I know everyone here is anti-Zuffa, but the fact is they put in a lot of work and have taken MMA to where it is today.
 

CRE

Posting Machine
Apr 24, 2015
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Anyone know why they'd be looking at selling? Is business getting that bad?

I do think it's sad. I know everyone here is anti-Zuffa, but the fact is they put in a lot of work and have taken MMA to where it is today.
Some people say that the Fertitta's want to buy an NFL team. UFC's current valuation is very high.
 
P

Punch

Guest
Anyone know why they'd be looking at selling? Is business getting that bad?

I do think it's sad. I know everyone here is anti-Zuffa, but the fact is they put in a lot of work and have taken MMA to where it is today.
To clarify, I'm not anti zuffa. I'm anti bully, anti liar, and anti thief. If zuffa stopped practicing the traits of swindlers, I'd be on board.
 

kneeblock

Drapetomaniac
Apr 18, 2015
12,435
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I figured they'd be selling before 2020, but didn't think it would be this soon. It makes me think the legal case is looking even worse for Zuffa than we surmised or that their financials are in trouble.

We could see some great reforms following a sale, but the company moving into the hands of foreign investors means we could also see things really become disjointed. If there's one thing I've never doubted about Dana and the Fertittas it's that they love the actual sport of MMA. They train it, they immerse themselves in it, they are it. Their labor practices suck, but even that is a function of the capitalist system they find themselves in. When Flash came on as an investor, I was okay with that because the Zayed family also all trains BJJ and loves MMA (they gave us ADCC after all).

This seems like it could just be a consortium of rich entertainment types looking for a toy to make money or play with. I hope that's not the case as China of course has its own long and proud martial tradition.

Awkward feelings.