WWE New and Rumors: Chairman Vince McMahon Sells WWE Stock Worth $40 Million
In a new development that would certainly come as a bit of a surprise for most who have an interest in the WWE as a business, the chairman has sold $38-$39 million worth of stock in the business and stated that he disinvested with the intention of being in a better position to plan his estate when the time eventually comes.
According to the latest reports, the chairman disposed off 6% of the share holding in the company when he sold off 37,080,747 shares in the open market and the roughly $40 million that was raised in the process is meant for "for estate planning purposes for the benefit of Mr. McMahon and certain members of Mr. McMahon's family." It is yet no known whether immediate family members including his wife Linda and children Shane and Stephanie are going benefit from this sale. The company drafted an SEC filing and these are the interesting bits: -
"On May 16, 2016, the Vincent K. McMahon 2013 Irrev. Trust U/A dtd. December 5, 2013 (the "GRAT") sold 2,191,894 shares of Class A common stock of World Wrestling Entertainment, Inc. (the "Company") in a block trade made in accordance with the provisions of Rule 144 of the Securities Act of 1933, as amended. The GRAT was established by Vincent K. McMahon ("Mr. McMahon"), the Company's Chairman and Chief Executive Officer, for estate planning purposes for the benefit of Mr. McMahon and certain members of Mr. McMahon's family. The GRAT sale was executed for liquidity and asset diversification. After the sale, the GRAT continues to own 1,547,372 shares of the Company's Class B common stock. The GRAT may, at any time, subject to compliance with applicable securities laws, dispose of some or all of its remaining shares of the Company's common stock depending on various factors, including, but not limited to, the price of the shares of the Company's Class A common stock, the terms and conditions of the transaction and prevailing market conditions, as well as liquidity, family planning and diversification objectives. Other than possible additional sales by the GRAT, Mr. McMahon informed the Company that he has no current plans to sell any shares of the Company's stock and that he intends to continue in his capacity as the Company's Chairman and Chief Executive Officer for the foreseeable future.
The 2,191,894 shares sold by the GRAT represent approximately 6% of the Company's outstanding shares of Class A common stock. After the sale, Mr. McMahon beneficially owns 37,080,747 shares of the Company's Class B common stock, which represents approximately 86% of the Company's total voting power and approximately 48.8% of the Company's total outstanding shares of common stock."
