ProElite informs fighters it plans to promote events in 2009
Posted: Mon Nov 03, 2008 10:58 am
ProElite, Inc., the parent company of EliteXC, has notified several fighters and manage that it intends to continue promoting mixed martial arts events.
The news is according to a report by GracieFighter.com.
“EliteXC representatives have vowed that they will continue operations and will be planning a show in early 2009,” the report on Gracie Fighter states. “Most of the major EliteXC fighters under contract have been notified. Lead counsel for the organization has informed us that contrary to popular belief, EliteXC has not filed for bankruptcy and has merely scaled down their staff.”
The language in the notice contradicts previous documented statements by ProElite, which on Oct. 20 informed managers that it was ceasing fight operations. EliteXC Manager of Fight Operations J.T. Steele also had notified the Nevada State Athletic Commission that the company was not only canceling a planned Nov. 8 show in Reno, but that it was closing its doors as well.
The new position being taken by the company might be nothing more than an attempt to invoke a legal technicality. It is believed that ProElite could be looking to sell off its fighter contracts as assets and the latest notice could be in response to the managers of Robbie Lawler and Nick Diaz formally notifying the promotion of a perceived breach of their respective fighters’ contracts.
As such, the notice may be nothing more than a tactic to prevent fighters under contract from signing with other promotions. At the time of the layoffs several weeks ago, the company had less than $500,000 in liquid funds available and has no fight executives remaining on staff. The company’s current skeleton staff primarily consists of accountants and attorneys.
Without funding and the proper personnel to matchmake an event, it seems virtually impossible that ProElite will be able to hold a show in 2009 unless it receives new funding. With ProElite failing to bring in new funding while it was operating at full strength, it is highly unlikely that the company would be able to attract investors in its weakened condition.
The news is according to a report by GracieFighter.com.
“EliteXC representatives have vowed that they will continue operations and will be planning a show in early 2009,” the report on Gracie Fighter states. “Most of the major EliteXC fighters under contract have been notified. Lead counsel for the organization has informed us that contrary to popular belief, EliteXC has not filed for bankruptcy and has merely scaled down their staff.”
The language in the notice contradicts previous documented statements by ProElite, which on Oct. 20 informed managers that it was ceasing fight operations. EliteXC Manager of Fight Operations J.T. Steele also had notified the Nevada State Athletic Commission that the company was not only canceling a planned Nov. 8 show in Reno, but that it was closing its doors as well.
The new position being taken by the company might be nothing more than an attempt to invoke a legal technicality. It is believed that ProElite could be looking to sell off its fighter contracts as assets and the latest notice could be in response to the managers of Robbie Lawler and Nick Diaz formally notifying the promotion of a perceived breach of their respective fighters’ contracts.
As such, the notice may be nothing more than a tactic to prevent fighters under contract from signing with other promotions. At the time of the layoffs several weeks ago, the company had less than $500,000 in liquid funds available and has no fight executives remaining on staff. The company’s current skeleton staff primarily consists of accountants and attorneys.
Without funding and the proper personnel to matchmake an event, it seems virtually impossible that ProElite will be able to hold a show in 2009 unless it receives new funding. With ProElite failing to bring in new funding while it was operating at full strength, it is highly unlikely that the company would be able to attract investors in its weakened condition.