Now the latest edition of Wrestling Observer Newsletter has shed some more light on the situation and it explains how the things actually escalated between the two parties.
According to the newsletter, the talks between WWE and the former World Champion never actually reached a significant level and when the reports of him talking with the company came out he was actually negotiating with GFW Officials.
It’s being said that on WWE’s part, his friendship with Konnan, with whom Mr. McMahon has a well known grudge, was the reason why the talks never really picked up the pace.
The reason on Rey’s part of why the talks broke down is that he was looking to work a lighter schedule where he could work on other side projects as well which wasn’t possible in WWE.
Regarding Lucha Underground, it was noted that while there is nothing sour between the two parties, the company isn’t able to offer him the money similar to their prior deals due to various reasons and that’s why Mysterio is likely looking to work elsewhere.
Concerning Rey Mysterio’s future, it’s speculated that he is will receive a good offer from GFW soon and it’s likely that he will debut for the promotion after his 90 days non compete clause with LU gets over which will begin in September.