Endeavor Group Holdings, parent company of mixed martial arts league Ultimate Fighting Championship (UFC), and sports entertainment giant World Wrestling Entertainment (WWE) will combine to form a new, publicly listed company valued at $21 billion in an all-stock deal.

The new company’s valuation reflects $12.1 billion in enterprise value for UFC and $9.3 billion for WWE. The parties expect $50 million to $100 million in annual cost synergies from the merger.

Endeavor will hold a 51% percent controlling interest in the new company, with existing WWE shareholders owning 49%.

The new company will be led by Ari Emanuel, who will also continue as CEO of Endeavor. WWE co-founder Vince McMahon will be executive chairman of the board and Mark Shapiro will be president and COO of both Endeavor and the new company. Dana White will continue as president of UFC and Nick Khan will serve as president of WWE.

Eleven members of the board of directors – six selected by UFC and five by WWE – will be appointed later.

The transaction represents a contribution price of WWE of approximately $106 per share (before any post-closing dividend). Additionally, UFC and WWE will each contribute cash to the new company so that it holds approximately $150 million.

Endeavor plans to spin out the yet to be named combined company on the public market. It is expected to trade under the ticker “TKO.”

Endeavor first took control of UFC in a private equity backed deal in 2016, gaining full ownership in 2021 at the same time it went public.