Fanatics Reaches Agreement To Become Exclusive MLB Cards Licensee


Memorabilia Leviathan Fanatics, continuing its push into the collection space, has entered into an agreement with Major League Baseball and the MLB Players Association for exclusive licenses to produce baseball cards.

According to an MLBPA memo obtained by ESPN on Thursday, a company founded by Fanatics that has yet to be named will be the exclusive holder “in the category of baseball cards” after Panini and Topps’ licenses with MLBPA expire. at the end of 2022.

The deal also includes the National Basketball Players Association and the NFL Players Association, which, along with MLBPA, will have equity in this new venture, as will MLB and NBA, according to a Wall Street Journal article. (The NBA and NFL agreements with Panini expire at the end of 2025 and 2026, respectively.)

The distinction between rights with a players’ union and / or a league is notable. For example, Panini, which has an MLBPA license but no MLB license, produces baseball cards but is not allowed to display MLB team logos. Topps, which has deals with MLB and MLBPA, currently produces baseball cards with player images and MLB team logos.

MLB’s agreement with Topps was extended in 2018 and runs until 2025. Topps has been the exclusive holder of MLB-backed baseball cards since 2009. It was also recently announced that Candy Digital, backed by Fanatics, owned the exclusive rights to MLB NFT.

According to the memo, Fanatics’ deal with MLB and MLBPA is more than 10 times bigger than anything the union has ever agreed to. The note also says the deal, combined with other recent deals, is expected to generate around $ 2 billion by 2045.

According to the MLBPA Annual Report, Topps paid MLBPA $ 20.4 million in license fees for 2020, the highest sum of any MLBPA licensee and up to approximately $ 1.67 million. dollars compared to 2019.

The Fanatics deal is a blow to card giant Topps, which first produced baseball cards in 1951, filled with draws, not gum, as would become common. Topps, founded in 1938 and long a public company, went private in 2007 with a nearly $ 400 million deal, led by Tornante Co. of Michael Eisner and Madison Dearborn Partners, LLC.

In April, after sales hit $ 460 million in 2019 and $ 567 million in 2020, Topps announced it would go public again with a merger with a special purpose acquisition company (SPAC) involving Mudrick Capital Acquisition Corp. II, a giant deal that shot Topps up to $ 1.3 billion. Evaluation.

Without baseball, its flagship sport, Topps will only have football – notably Major League Soccer, Bundesliga and UEFA Champions League – and NHL stickers in terms of major sports. Upper Deck is still the exclusive licensee for the NHL cards.

Fanatics and the MLBPA declined to comment. Topps could not immediately be reached for comment.