WWE’s rich new deal with BSkyB to air its shows in the United Kingdom and Ireland significantly boosted the company’s stock over the last two days.
Shares of WWE wrapped the week closing at $24.19, gaining 4.2%. That’s after rising over 8% on Thursday to close at $23.22. It reached a new 52-week high of $23.88 earlier that day, which it has now topped. It hasn’t traded on such levels since November 1999.
The stock kept gaining in after hours trading, rising nearly 1.3% to $24.50.
Financial terms of the contract extension with BskyB were not disclosed. However, the new deal, which runs through 2019, is said to have doubled the licensing fees WWE previously received from BSkyB.
As part of the deal, BSkyB will continue to air WWE’s weekly shows — including “Monday Night Raw” and “Friday Night SmackDown” to its 15.5 million subscribers for the next five years. “WWE Main Event” will also be added to Sky Sports and Sky One. All 12 of WWE’s pay-per-views, including “WrestleMania” will also be available on Sky Sports Box Office.
The deal between the two companies was set to expire this year.
The increased price WWE will receive from BSkyB bodes well for the company now that it’s looking for a richer deal for all of its show in the U.S.