Merch master Fanatics buys Topps for a reported $500M to bring trading cards into the future

The MVP of sports merch… is now also the MVP of sports cards. This week, sports merch business Fanatics bought 70-year-old sports-card icon Topps for a reported $500M. Now, Fanatics owns the rights to sell trading cards of players in the MLB, NBA, and NFL. (BTW: Topps also owns Ring Pops and Bazooka gum, but its nostalgic candy biz wasn’t part of the deal.)

• Partner powerhouse: Fanatics pays 300+ teams and brands — like the NFL, Manchester United, and Nascar — to sell their merch as an official partner.
• Versatile player: Fanatics’ valuation nearly tripled to $18B last year, and it split into four companies: merch, trading cards, gaming, and NFTs.
• MVP: Fanatics’ own cards biz is already worth $10B itself. Fanatics owns 80% of it, and players and investors own 20%.

The Tesla of trading cards… Trading cards have boomed during the pandemic, fueled by growing interest in digital collectibles like NFTs. To cash in on the collecti-craze, Fanatics first teamed up with the NFL and NBA. Now, by buying Topps and partnering with the MLB, Fanatics can also sell baseball cards, both physical and digital. Last year, Topps reportedly sold $560M of physical and digital cards in 100 countries.