Endeavor Group Holdings Inc. (EDR) stock plunged over 10% in the pre-market session on Monday, as investors reacted to the announcement that Silver Lake will be closing a transaction to acquire Endeavor shares at $27.50 per share on March 24th.

The entertainment and media company's shares were trading at around $31.50 in the pre-market, down 10.25% from Friday's close, following the news that Silver Lake will be acquiring a stake in the company at a lower price point of $27.50 per share.

Investors appear to be pricing in the potential dilution and valuation impact of the Silver Lake transaction, which could see Endeavor's stock price converge towards the $27.50 level once the deal closes later this month.