Vince McMahon is one of the best businessmen in the whole of United States, and he is looking to throw in his latest big move by bringing back his pet-project, XFL, by buying it out of bankruptcy.
We reported yesterday that McMahon is using a loophole by applying his good friend Donald Trump’s tactics to save XFL, and more news has come to light on this matter, and it seems like the WWE boss is looking to save quite a huge amount of money with this gamble.
McMahon’s ‘cut-throat’ business ploy, which is said to be declaring bankruptcy in order to save the company from paying the salaries of all the employees, is being put into motion, as talks have begun around bringing back the company once the pandemic has died down.
Wrestling Observer Newsletter reported that McMahon will be buying the league in a fire-sale, which will allow him to save up $50 Million, which is currently owed by him in several bills.
“The idea being floated is that McMahon would purchase the assets of the league, the key being intellectual property and some contracts he would want to keep, at a fire sale price, while allowing him to get out of paying up to $50 million in bills still owed from the launch of the league.”
It is noted that Vince McMahon currently owns 80% of the league already, and buying back the company by ‘saving’ it from bankruptcy will also allow him to pick up the remaining 20%.
WWE currently owns the remaining 20% of the company, which was a ploy by McMahon to retain the intellectual rights from the first incarnation of the league. With this purchase, he will essentially buy all these assets currently associated with WWE, giving him complete ownership of the NFL-alternative.
Vince McMahon’s business strategies are surely a sight to behold, and it remains to be seen how this one goes down.