The New York Stock Exchange is unhappy with Vince McMahon. On a day where Wall Street experienced significant gains, its highest rise since 1933, after the announcement of a billion-dollar aid plan that has to be ratified by the United States Congress, WWE shares continue to drop.
In the last 24 hours, Shares of the sports entertainment company are down $ 3.08 (a variation of 7.89%), standing at around $ 38 per share. In this situation, the president and majority shareholder of WWE, Vince McMahon has decided to sell part of its shares with the aim of obtaining greater liquidity. However, the sale of the package of some 2,260,000 shares, which is around 80 million dollars according to the specialist of Bloomberg news Drew Singer enters an agreement whereby McMahon keeps the rights of said participation. In other words, Vince McMahon has ensured that he maintains the right to vote and to the distribution of dividends despite having sold his shares.
This action has caused anger on the part of Wall Street executives, as reported by PWInsider. These consider that McMahon should lose his rights with the sale of the shares and, therefore, lose power within the organization. Yahoo Finance adds that the WWE president may be preparing a final sale of his shares in the company.
WWE could be sued for its deal with Saudi Arabia
In addition, the Pomerantz LLP law firm is considering filing a lawsuit against WWE over decisions made before a significant decline in the share price of the last months. The main fact on which the complaints revolve is the 10-year agreement that the company reached with the authorities of Saudi Arabia.