Fantex
| Company type | Public |
|---|---|
| Industry | Financial services, brand management |
| Founded | 2012 |
| Founder | David Beirne, Buck French, Dave Mullin |
| Headquarters | San Francisco, California , United States |
| Products | Investment platform for athlete-linked securities |
Fantex Holdings, Inc. was a financial services and brand management firm based in the United States, with its headquarters located in San Francisco, California. The company specialized in offering an investment platform that facilitated the trading of securities linked to the earnings and brand agreements of professional athletes. Beginning with its inaugural initial public offering in October 2013, which involved San Francisco 49ers tight end Vernon Davis, Fantex gradually broadened its roster of athlete securities. This investment category has often been likened to celebrity bonds issued by musicians such as David Bowie.
Functioning as a holding company, Fantex operated through two principal entities:
- Fantex, Inc. – a registered securities issuer under the oversight of the Securities and Exchange Commission.
- Fantex Brokerage Services, LLC – an online brokerage firm and member of the Financial Industry Regulatory Authority (FINRA).
History
Established in 2012 by David Beirne (formerly a partner at Benchmark Capital), Buck French, and Dave Mullin, Fantex's board included prominent individuals like John Elway, Josh Levine (former CTO and COO at E-Trade), and Duncan Niederauer (ex-CEO of the New York Stock Exchange). Its advisory council featured influential business executives and retired athletes including Jack Nicklaus.
The company made its market debut in late 2013 with its initial IPO filing. Although initially slated to launch with running back Arian Foster, this offering was delayed due to injury concerns. In April 2014, tight end Vernon Davis became the first athlete to successfully complete an IPO with Fantex. Within the following eighteen months, five additional football player securities were introduced to investors. By September 2015, Fantex expanded into other sports by signing pitcher Andrew Heaney of the Los Angeles Angels, followed by golfer Scott Langley in January 2016. Altogether, Fantex secured contracts with eleven athletes and completed six IPOs amounting to $25.8 million.
In August 2016, Fantex ceased accepting individual investors on its platform. Subsequently, in March 2017, CEO and co-founder Cornell French exited the organization.
Timeline
| Date | Athlete | Event | Brand Acquired | Value |
|---|---|---|---|---|
| October 2013 | Vernon Davis | Enters into brand contract with Fantex. | 10% | $4,200,000 |
| February 2014 | EJ Manuel | Agrees to brand contract with Fantex. | 10% | $5,200,000 |
| April 2014 | Vernon Davis | Completes $4.2 million initial public offering. | ||
| May 2014 | Mohamed Sanu | Signs brand contract with Fantex. | 10% | $1,640,000 |
| July 2014 | EJ Manuel | Finalizes $5.2 million IPO. | ||
| September 2014 | Alshon Jeffery | Enters into brand contract with Fantex. | 13% | $8,400,000 |
| November 2014 | Mohamed Sanu | Completes $1.6 million IPO. | ||
| February 2015 | Michael Brockers | Signs brand contract with Fantex. | 10% | $3,600,000 |
| March 2015 | Alshon Jeffery | Completes $8.4 million IPO. | ||
| March 2015 | Jack Mewhort | Agrees to brand contract with Fantex. | 10% | $2,700,000 |
| March 2015 | Kendall Wright | Signs brand contract with Fantex. | ||
| May 2015 | Michael Brockers | Completes $3.6 million IPO. | ||
| July 2015 | Jack Mewhort | Completes $2.7 million IPO. | ||
| September 2015 | Andrew Heaney | Signs brand contract with Fantex. | 10% | $3,340,000 |
| September 2015 | Terrance Williams | Enters into brand contract with Fantex. | 10% | $3,060,000 |
| September 2015 | Ryan Shazier | Signs brand contract with Fantex. | 10% | $3,110,000 |
| April 2016 | Allen Robinson | Agrees to brand contract with Fantex. | 12% | $4,600,000 |
| April 2016 | Tyler Duffey | Signs brand contract with Fantex. | 10% | $2,230,000 |
| April 2016 | Maikel Franco | Enters into brand contract with Fantex. | 10% | $4,350,000 |
| April 2016 | Collin McHugh | Signs brand contract with Fantex. | 10% | $3,960,000 |
| April 2016 | Jonathan Schoop | Agrees to brand contract with Fantex. | 10% | $4,910,000 |
| April 2016 | Yangervis Solarte | Signs brand contract with Fantex. | 11% | $3,150,000 |
| April 2016 | Kelly Kraft | Enters into brand contract with Fantex. | 15% | $2,280,000 |
| April 2016 | Scott Langley | Signs brand contract with Fantex. | 15% | $3,060,000 |
| April 2016 | Jack Maguire | Agrees to brand contract with Fantex. | 11% | $2,070,000 |
| April 2016 | Kyle Reifers | Signs brand contract with Fantex. | 15% | $1,740,000 |