Arian Foster already paved the way as Fantex’s first client to sell himself on an open market, but now a second NFL Pro Bowler has decided to do the same. San Francisco 49ers’ Tight End Vernon Davis will now be on the market the San Francisco based company announced yesterday. FanTex will also hit the road now in a former Madden Crusier to promote the IPO that will make it’s way all over the country.
Fantex, Inc. launched its first IPO Road Show aimed at individuals across the country interested in investing tracking stocks linked to the value and performance of an athlete’s brand.
Fantex’s executive team will be taking a cross-country trip, making stops in nearly a dozen cities to speak with potential investors.
The eleven-day tour started yesterday in the Bay Area, with a kickoff event on San Jose’s Santana Row, as well as an event in Fantex’s home city, San Francisco, California today.
From there, the bus will travel east, stopping in some of the nation’s top sports cities. Planned tour stops include:
- Wednesday, Feb. 5: Los Angeles, CA
- Thursday, Feb. 6: Las Vegas, NV
- Friday, Feb. 7: Denver, CO
- Saturday, Feb. 8: Kansas City, MO
- Sunday, Feb. 9: Chicago, IL
- Monday, Feb. 10: Columbus, OH
- Tuesday, Feb. 11: Pittsburgh, PA
- Wednesday, Feb. 12: Philadelphia, PA
- Thursday, Feb. 13: Boston, MA
- Friday, Feb. 14: New York, NY
Open to everyone, those interested in attending the events can register here. At the events, the Fantex team will help educate the public about Fantex, Inc. as well as the Fantex Vernon Davis Convertible Tracking Stock (“Fantex Vernon Davis”).*
On Jan. 30, Fantex opened the reservation period for Fantex Vernon Davis, and Fantex, Inc. will be offering 421,100 shares of Fantex Vernon Davis at a price of $10 per share.
Fantex CEO Buck French told Darren Rovell of ESPN.com that the company will now have the rights to 10 percent of Davis’ earnings, including his playing contract, endorsements and post career interests, after paying him $4 million up front as long as they can finance the deal. Davis’ base salary for the 2013 season was just over $6 million.
A registration statement relating to these securities has been filed with the Securities and Exchange Commission (“SEC”) but has not yet become effective. The preliminary prospectus is available here. Copies of the preliminary prospectus relating to this offering may also be obtained by calling toll-free 866-315-3482.
It will be interesting to see if the trend continues for NFL stars to put themselves up for IPO auction with a sport with as much injury risk as the NFL. Now that there are multiple NFL stars aligned with the company, it will look a lot more enticing to players that are interested in protecting themselves from the volatile nature of the NFL game.
About Fantex:
Fantex Holdings, Inc. serves as the parent company to both Fantex, Inc. and Fantex Brokerage Services, LLC. Fantex, Inc. is a brand building company that purchases a minority interest in an athlete brand and works to increase the value of the brand.
To fund the purchase, Fantex, Inc. develops a tracking stock that is linked to the economic performance of the brand. Fantex Brokerage Services, LLC is the exclusive trading platform for tracking stocks that are issued by Fantex, Inc.
Fantex Vernon Davis is intended to track and reflect the separate economic performance of the brand contract that Fantex, Inc. has signed with Vernon Davis.
The shares of Fantex Vernon Davis however will have no direct investment in that brand contract, associated tracking series brand or Vernon Davis. Rather, an investment in Fantex Vernon Davis will represent an ownership interest in Fantex, Inc. as a whole, which will expose holders to additional risks associated with any other tracking stock that Fantex, Inc. may establish and issue in the future.