TKO to Pay $3.25 Billion for Several Endeavor Sports Units (1)

TKO Group Holdings Inc. will acquire three sports businesses from its largest shareholder, Endeavor Group Holdings Inc., for $3.25 billion in stock, expanding a portfolio of live entertainment assets that includes Ultimate Fighting Championship and World Wrestling Entertainment.

TKO said Thursday it will acquire the Professional Bull Riders league, On Location, which provides premium hospitality at sporting events, and IMG, a producer and distributor of sports rights and events.

The New York-based company also plans to buy back up to $2 billion of its stock and will begin issuing quarterly dividends of $75 million.

TKO shares fell 5.9% to ...