Specifics Of Non-Compete Clause Reportedly Baked Into TKO, WWE-UFC Merger

More details have emerged pertaining to the merger between WWE and UFC following Endeavor's acquisition from Vince McMahon. The merger saw the wrestling and MMA promotions falling under the same umbrella, named TKO Group Holdings. 

Dave Meltzer detailed the inclusion of a non-compete clause as he wrote this week's "Wrestling Observer Newsletter", which supposedly stipulates that, under the circumstance that Endeavor sells TKO Group Holdings, they cannot re-enter either the MMA or pro wrestling business for five years. Meltzer noted that when Turner Broadcasting sold WCW there was a three-year non-compete, and although Ted Turner, Bill Shaw, and Jim Barnett discussed a return to the business when the clause expired, the prospect died as it would have cost too much money. 

Looking at the MMA history, Meltzer added that in Scott Coker's deal to sell Strikeforce to UFC, he had a non-compete. Throughout the clause, he continued to run Strikeforce as a separate brand – akin to Tony Khan's Ring of Honor – but as it expired he was let go by UFC and later went to run Bellator MMA. Meltzer added that in the event that Endeavor sells TKO Group Holdings after the five years have passed, then it cannot start up a company in either sport for another six months, nor negotiate for six months with any talent within the industries whether a part of TKO Group Holdings or not.

The merger between WWE and UFC was completed last week, with the completion leading to company-wide layoffs in WWE to reduce staffing redundancies in the wake of the reorganization of the two companies.