Vince McMahon recently returned to the company he made a global phenomenon with it claimed his sole purpose was to facilitate a sale. Now though, that sales appear to be as far away as ever as, according to Bloomberg.com, McMahon is asking seven times the company’s annual sales, a whopping $9 billion.
Yet McMahon may not find many buyers eager to pay his price considering the shaky global economy and rising interest rates. A valuation of $9 billion amounts to about seven times the company’s $1.29 billion in sales last year, and 23 times its adjusted operating income before depreciation and amortization, both at the high end for the entertainment industry.
Bloomberg.comThere has been some speculation that McMahon doesn’t really intend to sell the company, and considering the considerable amount he is asking above its value, that seems a real possibility. Nevertheless, as Ted Dibiase famously said, “everybody has a price,” so if someone does come along with more money than sense, perhaps McMahon will get what he is asking.
