Endeavor Group Could Raise $712 Million in IPO

Endeavor Group’s entertainment and sports division, which negotiates media-distribution deals on behalf of more than 150 clients including the National Football League, is the company’s biggest source of revenue.

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Frank Jansky/Zuma Press

Sept. 16, 2019 8:30 am ET

Endeavor Group Holdings Inc. said it plans to raise as much as $712.3 million in its initial public offering, the entertainment company said in a securities filing Monday. The parent company of William Morris Endeavor, Hollywood’s biggest talent agency, plans to offer 19.4 million shares of common stock at $30 to $32 a share. The company also is granting its underwriters the option to buy an additional 2.9 million shares.

For the six months ended June 30, the company recorded revenue of $2.05 billion, up from $1.5 billion in the comparable period last year, according to the filing. Endeavor said the increase was driven by a 46.4% growth in revenue in its entertainment and sports segment. The company’s entertainment and sports division, which negotiates media-distribution deals on behalf of more than 150 clients including the International Olympic Committee and National Football League, is Endeavor’s biggest source of revenue. The company recorded a loss of $192.6 million for the first half of the year, narrower than last year’s $404.5 million. Its operating expenses for the first half of the year grew to $2.04 billion from $1.63 billion. The company first filed plans to go public in May, but delayed it as it was working to finalize an acquisition of premium-hospitality and live-events company On Location Experiences LLC for as much as $700 million, The Wall Street Journal reported in August, citing people familiar with the matter. The deal, if completed, would aid the company’s push to diversify its revenue base. No deal has been announced, however. Endeavor plans to list its shares on the New York Stock Exchange under the symbol “EDR.”

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