Court Filings Indicate Bankrupt Xyience Closely Related To UFC

Supplement maker Xyience filed for Chapter 11 bankruptcy on January 18, and bankruptcy filings "suggest a much deeper relationship between Xyience and Zuffa, parent company of the UFC, than merely a lucrative sponsorship agreement," according to Adam Swift of SHERDOG.com. Documents filed in court reveal Xyience's third largest shareholder is "closely tied to Zuffa and the UFC," as 5,166,667 shares (10.1% of the company's voting shares) are issued to "Bevanda Magica (UFC)," which is listed at 2960 W. Sahara Avenue Suite 200 in Las Vegas. Zuffa's corporate HQs is "variously listed" at the same address. The shareholder list also features Zuffa CFO John Mulkey (50,000 shares) and resident agent John Hertig (25,000 shares). Xyience's "single largest creditor" is Zyen, a company controlled by Fertitta Enterprises that is "listed at the same address as Bevanda Magica (UFC)." Zyen holds roughly $12.5M in total claims against Xyience. The filings also indicate Zuffa Marketing LLC, a subsidiary of Zuffa, is "still owed $3[M]" by Xyience. The Las Vegas Review-Journal put the value of Xyience's UFC sponsorship at $15M in the first year. The court filings also "validate reports of Xyience's failure to honor endorsement agreements" with various fighters. It was confirmed in November fighters Chuck Liddell, Forrest Griffin, Matt Hughes and Rich Franklin "had struggled collecting from the company. All four fighters were prominently featured in Xyience's multimillion-dollar marketing campaign" (SHERDOG.com, 1/30).