Photo by Esther Lin/EliteXC.
ProElite will attempt to block a public auction announced for November 17 in which Showtime Network will attempt to sell off the remaining assets off the company in order to repay two defaulted promissory notes for $4 million that Showtime lent to ProElite over the last year.
According to a Securities and Exchange Commission filing from November 6, ProElite “plans to take all appropriate measures to prevent the sale from occurring. Such measures may include raising additional financing, filing a lawsuit enjoining the sale, filing a bankruptcy petition or negotiating a settlement with Showtime.” The filing also went on to say that ProElite was unsure whether any of the methods would prove successful.
The planned public auction will see both the EliteXC and King of the Cage brands up for sale as well as the contracts of such fighters as Kimbo Slice, Gina Carano, Jake Shields, Robbie Lawler, and Frank Shamrock among others.
In related news, the California State Athletic Commission has suspended promoter licenses for both ProElite and King of the Cage, citing a lack of financial stability and a proposed public auction as the reasoning behind the move, which will prevent ProElite from going forward with its previously announced plan to begin promoting mixed martial arts events once again early next year.