Two Major WWE Investors Jump Ship

Source: www.f4wonline.com

In a major story that somehow didn’t get out until recently, Invemed Catalyst Fund, which was the largest company shareholder with the exception of the McMahon family, dumped almost all its stock on 11/20. Invemed sold 1,291,346 shares while Michael Solomon, the head of Gladwyne Partners, dumped 1,281,122 shares, which combined represented about 4% of company stock, or about $40 million worth. Solomon was an institutional investor in WWE stock from the beginning and has been a member of the Board of Directors since 2001. The reports were that he was unhappy with the recent changes in company management (I always sensed they were closer to Shane & Linda McMahon). When the stock price started climbing a few weeks back, that’s when they chose to cash out. The stock price, which peaked at $16.59 a few weeks ago, closed at $15.19 at the close of business on 12/15.

I'm no expert in finance but I also read that John Laurinaitis sold his shares in the company as well this week. Clearly, the departure of Shane & Linda McMahon has a bigger impact that WWE wants us to believe. It appears to me that both of them were extremely appreciated by the workers in the company and no matter how WWE tries to downplay it, I don't know how much damage the company can still take without this having serious repercussions on Linda's senatorial bid (even though we all agree that she doesn't have a chance to win).