According to reports in the Wall Street Journal and SGB, Florida-based Fanatics Inc. has raised $1.5 billion in a funding round that values the sports merchandise and memorabilia company at $27 billion. Because the transaction was private, both media rely on information received by a ”person with knowledge of the matter.” Investors are said to have included Fidelity Management & Research Co. as well as funds from BlackRock Inc. and MSD Capital LP. However, the transaction adds fuel to speculation that the company is close to an IPO.
Fanatics has been adding new categories as CEO Michael Rubin looks to extend beyond sports merchandise into several new business lines, including trading cards and sports betting. Last fall, the company announced exclusive trading-card deals with the unions representing the players in Major League Baseball, the National Basketball Association and the National Football League. Earlier in 2022, the company acquired Topps trading cards for $500 million. Fanatics’ trading card entity is valued at $10 billion after a $350 million round of funding last September. Its latest valuation marks a big step up since last August when it raised $325 million at an $18 billion valuation.
