Fanatics and a group of celebrities including Jay-Z acquire sports apparel brand

Fanatics, a sports gear shop based in the United States, announced on Friday that it has bought Mitchell & Ness, a 118-year-old company known for its jersey replicas and streetwear, with participation from American rapper Jay-Z and other celebrities.

According to sources familiar with the matter, Mitchell & Ness is valued at $250 million. They said the firm had $350 million in revenue and $70 million in profit last year.

The Rubin-led sports gear company has been trying to expand its business for a while now, and this is the latest effort. Last month, the corporation paid $500 million for Topps' trading cards and collectibles business, gaining exclusive rights with Major League Baseball (MLB).

Mitchell & Ness was once a household name in the fashion business, particularly for streetwear. According to ABC Action News Channel 6, the company first opened its doors in 1904 on Arch Street in Philadelphia, and the flagship store is now on Walnut Street.

Mitchell & Ness will be owned by Michael Rubin, the founder and CEO of online sports shop Fanatics and a co-owner of the Philadelphia 76ers. Rubin will hold 75 percent stake in the company while the remaining 25 percent will be dispersed to investors including Jay-Z, Meek Mill, Maverick Carter, LeBron James' business partner, Lil Baby, and TikTok influencers the D'Amelio family, among others.

“I’m incredibly excited for Fanatics to partner with this incredible group of innovative owners to build upon the company’s already strong business that has kept the brand culturally relevant for more than 100 years. Growing up as a kid in Philadelphia, we looked at Mitchell & Ness as a badge of pride, and I truly believe this legendary brand has no limit,” said Rubin.

According to the Fanatics’ CEO, the Mitchell & Ness brand's recent acquisition from former owners Juggernaut Capital Partners will not result in the layoff of the 132 employees. Rubin will follow the Fanatics platform's business plan, which includes gaining more global exposure and expanding the company's product portfolio.

Jay-Z's participation in the Mitchell & Ness acquisition is a natural extension of his commercial partnership with Fanatics. The mogul and his organization, Roc Nation, were investors in the platform's $325 million investment round in August 2021, increasing its worth to $18 billion.

“Fashion is cyclical, but classics are forever,” Jay-Z said in a statement. “Mitchell & Ness is a true classic. I was an early adopter of this brand, as well as a part of a departure from athletic wear. I’m proud to play a small role in bringing it back, and in some cases, introducing the authenticity and quality of the Mitchell & Ness brand to a new generation.”

Mitchell & Ness will function as a separate business, according to Fanatics, with Chief Executive Kevin Wulff continuing to lead the brand.

About Mitchell & Ness

Mitchell and Ness Sporting Goods was founded by Frank Mitchell and Charles Ness in 1904 in Philadelphia in 1904.  The duo set the stage for the future of authentic sports apparel. They started off stringing tennis racquets, building handmade golf clubs, and manufacturing jerseys for local baseball and football teams in Philadelphia.

Mitchell & Ness made their NFL début in 1933, when they began producing uniforms for the Philadelphia Eagles, a relationship that would last for 30 years. Mitchell & Ness began professional baseball in 1938, creating uniforms for the Philadelphia Athletics and, a few years later, outfitting the Philadelphia Phillies.

Mitchell & Ness received a request in 1985 that assisted them in pivoting in a new path. A buyer asked if his game-worn 1960 Pittsburgh Pirates vest and his game-worn 1949 St. Louis Browns jersey could be repaired. This spawned an idea that would alter the course of history. Make vintage, authentic baseball jerseys and gear that are historically accurate. Mitchell & Ness Nostalgia Co. was founded as a result.

Mitchell & Ness Nostalgia Co. now sells authentic vintage jerseys and gear for the MLB, NFL, NBA, NCAA, and Major League Soccer.