All eyes are on the WWE Board of Director’s investigation into misconduct allegations against Vince McMahon, being conducted by New York-based Simpson, Thacher & Bartlett.
Most people — and especially wrestling fans — are focused on what this will mean for McMahon’s future with the company he purchased from his father and grew from a pro wrestling territory to a global sports entertainment corporation. But other law firms are looking for investors who feel they’ve lost money because of Vince allegedly paying employees he’s had relationships with to keep silent.
Brandon Thurston of Wrestlenomics notes there are now five different firms looking to speak to shareholders about class action cases against WWE: Brager Eagel & Squire, Labaton Sucharow, Rosen Law Firm, Scott+Scott, and Schall Law Firm.
All of their press releases asking WWE investors to contact them (linked with each firm’s name) reference drops in stock price last week. First on June 16, 2022, the next full trading day after the Wall Street Journal first reported on the Board’s investigation of Vince McMahon (WWE stock was down $2.31 per share, or 3.4%, closing at $64.87 per share). Then on June 17, 2022, after that morning’s announcement Vince would be stepping back from his roles as CEO & Chairman to be replaced on an interim basis by his daughter Stephanie (the stock price fell nearly 4% in intraday trading).
Will any or all of these be an issue for the company, with or without its longtime leader? I don’t have enough knowledge or experience with these kinds of situations to even offer a guess.
But it seems like an indication that some folks who do sense blood in the water.