Quote:
Originally Posted by me>you
The IFL is dead, and both Elite XC & DREAM are heading into dangerous territory. The MMA business at the end of this year may very well look exactly like the professional wrestling business on a worldwide scale — one major company (UFC… like WWE) and everyone else not even close.
When Pro Elite made the move to buy out a lot of B-level MMA companies, I thought it was a volatile and unwise move. How can you possibly manage four or five different MMA organizations by sitting in an office in Los Angeles? Impossible to do. By buying out all of the major B-level promotions (except Strikeforce), Elite XC has basically accomplished what UFC could never have dreamed possible of doing — potentially killing off an entire farm system of promotions for building new MMA fighters. Essentially put, if Pro Elite goes out of business soon then it can be fairly stated that the company negatively impacted the business by paying off so many upstarts and not doing anything with those promoters they paid off. Remember — promoters like Terry Trebilcock signed multi-year deals, so they will be on the sidelines in the foreseeable future if Pro Elite tanks and goes out of business.
There is something curious, however, going on with the Pro Elite stock. It was down to $2.50 USD/share and it jumped up $5.50 USD/share today to reach $8.00 USD/share. Why on earth would this happen, given that Pro Elite filed this new financial report today with the SEC?
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I'm no expert, but from tooling around on yahoo, it looks like there was big purchase at 2 on friday. It says the average over the last 3 months it has traded like 166 shares a day but it was 5,300 on Thursday (those may be a factor of the real number, i really have no idea, I own a few stocks and really only check the price).
I have no idea what this means or if it's good or bad for the company, but it does seem really weird now that they have admitted that they are late on filing some forms, and that they really need to cut back on spending because they don't have a lot of capital.