According to the Twitter account of Ariel Helwani of MMAFighting.com:
BJ Penn and Matt Hughes have agreed to meet at UFC 123 in Michigan. Welterweight bout. Story coming shortly at @MMAFighting.
We wondered what would be next for BJ Penn after two straight losses to Frank Edgar. I suppose this is a good option. Penn dominated the first fight before choking Hughes out for the Welterweight title back at UFC 46. They rematched at UFC 63 and Penn was also winning handily in that fight before breaking his ribs and losing in the third via TKO by crucifix. I'm fully expecting a big performance from Penn here. Hughes is older and slower. He's getting another big fight though. This will make for a very intriguing co-headliner to the main event of Lyoto Machida vs Rampage Jackson. The full fight card as of yet looks like this:
Lyoto Machida vs. Quinton "Rampage" Jackson
BJ Penn vs Matt Hughes
Joe Lauzon vs. George Sotiropoulos
Phil Davis vs. Tim Boetsch
Karo Parisyan vs. Dennis Hallman
Gerald Harris vs. Maiquel Falcao
Matt Brown vs. Rory Macdonald
Tyson Griffin vs. Nik Lentz
Darren Elkins vs. Edson Barboza
Paul Kelly vs. Gabe Ruediger
Shaping up to be a damn good show.
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