The deal values Mitchell & Ness at $250 million - Mitchell & Ness |
Fanatics is on an acquisitive streak, the
sports merchandising firm is teaming up with a group of celebrities including
Jay-Z to buy nostalgic jersey and streetwear firm Mitchell & Ness for $250
million, according to Reuters.
The price for the merchandiser looks like a
winner.
Fanatics will own 75% of Mitchell &
Ness, which has agreements with sports franchises including the National
Football League.
The other 25% stake will be held by a
consortium that also includes rapper Meek Mill and TikTok phenom, the D’Amelio
family.
Mitchell & Ness made about $70 million
in profit on $350 million of revenue last year, Reuters reported.
That makes the deal less than 1 times
sales, below Nike at 4 times trailing 12-month sales or even Adidas.
Fanatics recently bought rival Topps’
trading card business for a steal, too. This latest deal is another score.