check it out
http://www.investinmma.com/proelite-to-rise-again/
by , "InvestInMMA.com"
July 11, 2011
MMAPayout had the opportunity to interview Vice President of Fight Operations for ProElite T. Jay Thompson. He spoke to us about the August 27 event, his goals for the promotion, and what we can expect from ProElite going forward.
ProElite hosted it’s first MMA event, which was televised on Showtime, back in February of 2007. In total, ProElite was able to produce 21 MMA events before it closed it’s doors in October of 2008, as it accumulated a debt of $55 million in the span of less than 24 months of operations.
EliteXC’s failure and Strikeforce being purchase by Zuffa earlier this year, despite both having historic network television deals and a number of MMA stars on it’s roster, begs the question: Can a viable competitor emerge? Can the market sustain another national promotion over the long-term? T. Jay Thompson believes becoming a profitable number two promotion is the initial goal this time around for ProElite.
MP: What will the name of the MMA promotion be under ProElite and does ProElite still have rights to EliteXC, Cage Rage, etc?
Thompson: We will be using ProElite as the name of the promotion, as the ProElite name still has value and brand equity. We still own part of the rights and library to EliteXC and Strikeforce owns others after the asset purchase, but we still have the rights to other promotions such as Cage Rage and ICON for example.
MP: So far, the rumors are Kala Hose vs Drew McFedries, Raquel Pa’aluhi vs Sara McMann, Jake Huen vs Mark Ellis, Andrei Arlovski, and Kendall Grove all possibly participating in the upcoming August 27 event taking place at the Blaisdell Arena in Hawaii. Can you confirm any of these fights? Will there be an emphasis in Women’s MMA?
Thompson: There will be an announcement this week but all I can say is that you guys have done a very good job. Those fights sound very plausible. I can tell you that we signed the first American woman in history to receive a silver medal in women’s wrestling at the 2004 Summer Olympics in Sara McMann and she will be taking on Raquel Pa’aluhi, who comes from a great Hawaiian MMA background. Whether male or female fighters, we are talking to anyone that’s available and that makes sense for us and what markets we are in.
MP: How will MMA fans be able to watch the August 27 event? Are there any concerns about running the show on the same day as the monumental UFC 134: Silva vs Okami taking place in Brazil?
Thompson: The event will be available for fans most likely by streaming from a major MMA website. We are hoping for a TV deal to be in place, but realistically, it will most likely be streamed from Hawaii at 7PM local, which means it will air just after UFC 134 at 10PM on the west coast. We are not trying to compete with the UFC, and just like a fighter coming back from a long layoff, we have to work out the kinks and ring rust. We hope to do that in the first couple of shows.
MP: Does ProElite have any major sponsors lined up for the August 27 event?
Thompson: We are currently not aligned with any major sponsors. As for the event, nothing is official just yet, but we aren’t expecting many major sponsors for the first event.
MP: ProElite CEO Paul Feller has mentioned before that a lot of what PE will do in the future depends on what happens with Strikeforce on Showtime and the UFC/Bellator on Spike TV. Is the goal to eventually land a TV deal with one of those big outlets?
Thompson: My job is to put ProElite in a position to capitalize on any opportunities that present themselves in the future. So we won’t rule anything out at this point. Stratus Media has talented people and many have worked in/with the TV industry, so we feel pretty confident we will be on a TV outlet by our second event.
MP: When will the second event take place and how many events are you planning for 2011?
Thompson: The second event will take place in November, which is when we believe we will have a TV deal in place. That means we will have 2 shows in 2011, then ramp up for 2012.
MP: How will ProElite be funded and operated this time around? It was well documented that the website, offices, employee salaries, etc were above and beyond what they should have been in terms of spending.
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Thompson: ProElite will be ran lean and mean this time around. It was frustrating watching PE burn through money and there was nothing I could do. It’s a reason why we are only holding two events this year. We want to analyze and make decisions that make sense for the company and our shareholders.
MP: Will Hawaii be the home-base of ProElite, similar to what San Jose was for Strikeforce?
Thompson: We want to host about 2-3 shows in Hawaii every year but I wouldn’t say we have a home-base. Remember that our offices are located in California, so we will see. Our goal is to go into markets that make the most sense.
MP: Is running MMA events out of Hawaii a concern, considering the MMA tax after the sport was regulated there a few years ago?
Thompson: Hawaii gets 4% on the gate, 4% on PPV revenue, but it is capped at $50K, so it’s no different if we hosted the event in California or New Jersey. Dana White made those comments back when the UFC was looking at putting on an event in Hawaii, but those regulations have been modified since. I wouldn’t be surprised if the UFC came to Hawaii soon and ran a show from the Aloha Stadium.
***
Part 2 of the interview will discuss the differences between the old ProElite and the what he envisions this time around, and his thoughts on Rich Chou, Dana White, Women’s MMA, being a promoter for the past 15 years, and being a huge MMA fan.
Written by Jose Mendoza · Filed Under Featured, financial, ProElite, Promoters
great interview , i'm buying more PELE shares , when dtcc is lifted ! Buy, Buy , Buy ! thoughts ?
PELE was totally silent for over a year.
Recently Pro Elite Was part of a 40 million dollar offer to Purchase strikeforce....
http://mmajunkie.com/news/22812/sources-...
The IR person on her facebook has also said news will come once the details are together http://investorshub.advfn.com/boards/rea...
Several board posters have contacted Paul Feller for info. Confirming News will come when its ready.
The stock still has a 59 million OS and 250 mill auth... Not changed in over 3 years.....float is super, super low and tight This was a 18 dollar stock that held a solid $2-5 range
This stock fell from a bankrupcy scare, that never happened 3 years ago. PELE never bounced due to company not holding events but they sold off assets that did not work and cleared debt. This article Bridges the gap between first ceo and current owners http://sportsillustrated.cnn.com/2009/wr...
CBS/Showtime 20% Shareholders in PELE!
Must Watch*****Dana White "All these guys come out and raise money and say they are going to compete with me" CBS WILL TRY IT AGAIN !!!
it is 1/2 way in the video 2:11min he knows something and he let it slip !! Pro Raised money and CBS is a shareholder. Sounds like pro is back on CBS!
http://prommanow.com/index.php/2011/03/2...
BROCK LESNAR DEATH CLUTCH "DEMONS" MMA T-SHIRT SMALL
Learn to Fight and Win with Frank Shamrock - Power Striking
Important*****Frank Shamrock still a shareholder! This seems to say that he knows share price will recover. "Shamrock acknowledged that he was, and still is, a shareholder in ProElite, EliteXC’s parent company"
https://www.fightlegendsclothing.com/blo...
In March of 2011 Pro Elite was rumored to be the unsuccessful second bidder against the UFC in an attempt to acquire rival MMA promotion Strikefore. The offer was said to exceed 40 million dollars. Principals at Pro Elte immediately confirmed the companies intention to re enter the MMA live event promotional business as they had with the record breaking Kimbo Slice events on CBS. Rumors immediately began circulating that Pro Elite was targeted as a strategic acquisition by either the UFC or an unidentified third party investor wishing to enter the MMA promotional space. PELE.PK stock jumped from .01 per share to more then .20 per share in two days as investors realized the stock routinely traded at $15 per share while Pro Elite was promoting live events.
http://en.wikipedia.org/wiki/ProElite
Old Showtime Elite XC Website still up
http://www.sho.com/site/elitexc/home.do
http://www.sho.com/site/about.do
http://www.sho.com/site/sports/flash.do#...
It seems that showtime/cbs knew pele was going to comeback so they left the old website up
Updated PELE Pro Elite DD
PELE was totally silent for over a year.
Recently Pro Elite Was part of a 40 million dollar offer to Purchase strikeforce....
http://mmajunkie.com/news/22812/sources-ufcs-strikeforce-purchase-likely-hastened-by-other-interested-buyer.mma
The IR person on her facebook has also said news will come once the details are together http://investorshub.advfn.com/boards/read_msg.aspx?message_id=60942856
Several board posters have contacted Paul Feller for info. Confirming News will come when its ready.
The stock still has a 59 million OS and 250 mill auth... Not changed in over 3 years.....float is super, super low and tight This was a 18 dollar stock that held a solid $2-5 range
This stock fell from a bankrupcy scare, that never happened 3 years ago. PELE never bounced due to company not holding events but they sold off assets that did not work and cleared debt. This article Bridges the gap between first ceo and current owners http://sportsillustrated.cnn.com/2009/writers/josh_gross/02/06/chuck.champion/index.html
CBS/Showtime 20% Shareholders in PELE!
Must Watch*****Dana White "All these guys come out and raise money and say they are going to compete with me" CBS WILL TRY IT AGAIN !!!
it is 1/2 way in the video 2:11min he knows something and he let it slip !! Pro Raised money and CBS is a shareholder. Sounds like pro is back on CBS!
http://prommanow.com/index.php/2011/03/24/strikeforce-done-working-with-camo/
Important*****Frank Shamrock still a shareholder! This seems to say that he knows share price will recover.
"Shamrock acknowledged that he was, and still is, a shareholder in ProElite, EliteXC’s parent company"
https://www.fightlegendsclothing.com/blogs/?p=471
In March of 2011 Pro Elite was rumored to be the unsuccessful second bidder against the UFC in an attempt to acquire rival MMA promotion Strikefore. The offer was said to exceed 40 million dollars. Principals at Pro Elte immediately confirmed the companies intention to re enter the MMA live event promotional business as they had with the record breaking Kimbo Slice events on CBS. Rumors immediately began circulating that Pro Elite was targeted as a strategic acquisition by either the UFC or an unidentified third party investor wishing to enter the MMA promotional space. PELE.PK stock jumped from .01 per share to more then .20 per share in two days as investors realized the stock routinely traded at $15 per share while Pro Elite was promoting live events.
http://en.wikipedia.org/wiki/ProElite
Old Showtime Elite XC Website still up
http://www.sho.com/site/elitexc/home.do
http://www.sho.com/site/about.do
http://www.sho.com/site/sports/flash.do#/site/sports/sxc.do
It seems that showtime/cbs knew pele was going to comeback so they left the old website up
ProElite to Rise Again? Good Read!
When news broke of the UFC purchasing Strikeforce last week, one of the interesting aspects was the mention of ProElite (PELE.PK) as a bidder for Strikeforce. Other than a few minor press releases after the organization had been purchased by Stratus Media Group, the company had been totally silent. However, it now seems apparent that the company had been making moves behind the scenes during this “quiet” period.
When Stratus purchased ProElite in early 2010, the first announced actions taken were the hiring of certain key personnel from “old” Pro elite. These were largely the management from the old company that were responsible for the positive achievements the company had made.
Douglas DeLuca was appointed to the board of directors. His bio on the ProElite.com website highlights his achievements of having “negotiated and closed deals for ProElite with a number of media entities including Showtime Networks, CBS Television, Mark Burnett Productions, IMG, and Fox Sports Net.” He is also cited as having numerous accomplishments in the production of a variety of TV series, specials, and feature films. Mr. DeLuca can be a major asset in ProElite getting new television deals due to his prior experience within the industry
Glenn Golenberg was also added as a board member. His accomplishments include his involvement in “…the financial services industry since 1966 and been involved in transactions that have historically included mergers and acquisitions, initial public offerings (IPO’s), financial restructurings, venture capital financings, and leveraged buyouts (LBO’s).” Mr. Golenberg is likely one of the key players for ProElite in negotiating with Strikeforce and other potential acquisitions.
Keith Walner was hired as Senior Counsel/Vice President of Business & Legal Affairs. His experience includes “20 years of experience as an attorney and a business & legal affairs executive within the entertainment industry handling a wide range of matters for live sports and entertainment events, as well as media distribution for major network broadcast television, premium cable, satellite television, and pay-per-view distribution.” Among his duties for the company, “Mr. Walner oversees all company legal matters, including production, distribution, censorship, advertising, and rights clearance. He handles all content acquisition and licensing for all domestic and international events and distribution and manages the organization’s intellectual property rights.” Mr. Walner's expertise would seem to be essential in negotiating the legal aspects of new TV deals and other intellectual properties for the company.
Obviously, these individuals were brought on board for their specific skills and experience. This would seem to indicate that ProElite has some pretty high aspirations for the company.
Paul Feller (CEO of Stratus Media and Chairman of the Board for ProElite) has previously indicated his desire to produce international events. The company still owns rights to the Cage Rage and Spirit MC brands along with the EliteXC brand. Cage Rage produced quality fight cards in Great Britain for many years. Spirit MC had produced numerous event in S. Korea featuring mostly Asian talent. It will be interesting to see if ProElite revives these brands, goes with the old EliteXC brand, or starts a new brand.
ProElite was able to become debt free before the purchase by Stratus and produces revenue thanks to deals made by the old CEO Chuck Champion. When Strikeforce bought some certain assets of ProElite, part of the deal was that ProElite would get payments from Strikeforce for each event produced until as late as 2013. Mr. Champion also made an agreement with Terry Trebilcock to allow King of the Cage to become an independent organization once again. As part of the arrangement, KOTC would make payments to ProElite for a specific period of time.
It is known that CBS/Showtime had been a shareholder in ProElite as part of an arrangement with the old company and there hasn't been any indication that CBS ever sold their shares. Whether CBS has any influence with the new owners remains to be seen.
Stock Investing Simplified
Since recent reports of ProElite attempting to purchase Strikeforce have indicated the company made offers for the purchase of Strikeforce of up to $40 million in value (cash and equity), it appears the company has access to the funding needed to relaunch the once major organization. The negotiations to purchase Strikeforce also explain the silent period after Stratus purchased ProElite since the company would have to be very careful about any information that could be released during that time due to SEC regulations and such.
There seems to be a huge opportunity in the world of Mixed Martial Arts now as the UFC's number one competitor (Strikeforce) is now under their control. At this point in time, there is no clear cut number two organization. If ProElite can relaunch with the kind of funding and expertise they seem to have available, it's possible they could once again become the major competitor to the UFC.
ProElite is based in Los Angeles, California. According to their website, the company's mission statement is: “To empower the MMA community by rebuilding and strengthening ProElite to earn the respect of fighters and fans alike, while ensuring thrilling live events that showcase the world’s leading fighters.”
ProElite to Rise Again? Good Read!
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