Fanatics raised $325 million in additional capital, including an investment by a high-profile celebrity, as the Jacksonville-based merchandising company seeks to expand into new businesses such as sports gambling, several major financial news outlets reported Aug. 10.
The latest round of funding increases the valuation of the company, which started with a single store in the Orange Park Mall in 1995, to $18 billion, they said, citing unidentified sources. Fanatics is a global leader in licensed sports merchandise.
The Wall Street Journal reported Fanatics expects revenue of $3.4 billion this year, up from $2.6 billion in 2020.
The latest investment group includes music mogul Jay-Z and his entertainment company, Roc Nation, the news outlets said.
A May 13 Securities and Exchange Commission filing by Fanatics Holdings Inc. said the company sold $322.56 million in stock to a group of 28 investors.
At the time of that stock sale, cable business news network CNBC said Fanatics was worth $12.8 billion.
Brothers Alan and Mitchell Trager founded that single store in Orange Park.
The Tragers sold the company in 2011 and it now is part of a Philadelphia-based holding company called Kynetic.
The company’s expansion and increased valuation has led to speculation it will launch an initial public offering, but Fanatics has not released any plans to go public.