UFC is probably the most valuable sports brand today considering the fast growth and success it has achieved for the past two decades. The UFC was sold by the Fertitta brothers to the WME-IMG group for $4.2 billion, which is the highest transaction in the history of sports.
The UFC is now a mainstream phenomenon that is bigger than the sport itself and one can’t praise the company enough. The brand has been honoured by being ranked on the top spot of Forbes Fab 40 list of biggest brands in sports. The UFC has made it to the 7th spot.
Mike Ozanian of Forbes spoke to Bjpenn.com, and here is what he had to say:
“The purchase of a brand can have a big impact on its value. The UFC was acquired by WME/IMG this summer for $4 billion. By my count, the price allocation of the deal valued the UFC’s brand at $2 billion–more than three times its value a year ago–based on the enterprise value premium paid for the mixed martial arts promotion."
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The UFC was bought by the Fertitta brothers for only $2 million dollars from its previous owners and spent millions of dollars to transform into what it is today. In his report for Forbes, Ozanian wrote:
"The UFC posted the biggest year–over-year increase among business brands. But if the UFC does not become bigger and more profitable–there by justifying its $4 billion price tag–its brand could fall sharply in value.”
The brand is elevating to a new level every year with its rising stars like Ronda Rousey and Conor McGregor, not to forget its TUF series and Pay-per-view events.
The Forbes Fab 40 has been topped by Nike that has an estimated worth of $27 billion, followed by ESPN with an estimated worth of $16.5 billion, and Adidas with a brand value of $7 billion.
One won't be surprised if the UFC surpasses this limit one day.
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