Michael Rubin’s Fanatics is valued at $31 billion after a new round of funding

Sports platform Fanatics has raised $700 million in a new funding round led by private equity firm Clearlake Capital, valuing Fanatics at $31 billion, sources familiar with the matter said on Tuesday.

LionTree and existing investors Fidelity, Silver Lake and Softbank also participated in the round, which sources said is a big boost in a slowing venture capital market for late-stage private companies. The capital raised will be used to finance acquisitions, the sources added.

It marks another investment in the sports arena by Santa Monica, California-based investment firm Clearlake Capital Group, which partially owns Chelsea Football Club.

With the raise, Fanatics will end the year with more than $2 billion in cash and is expected to generate $8 billion in revenue in 2023, according to the sources, who declined to be named after discussing the private companies’ finances.

Earlier this year, Fanatics bought Topps’ trading card and collectibles business for $500 million, accelerating its plan to launch a sports card trading business by acquiring rights with the leagues.

Founded by Michael Rubin, Fanatics has grown from a sports retailer to a digital sports giant with card trading and sports betting businesses. It has raised nearly $5 billion in capital from investors to date, according to Crunchbase.

Fanatics said it plans to launch its sports betting and gaming platform for the upcoming football season in major states in the first quarter.


Related Articles

Latest Posts