Sports trading card company Topps is combining with a special purposes acquisition company in a deal valued at $1.3 billion and seeking a public listing.
Topps, the iconic sports trading card manufacturer, said Tuesday it plans to take itself public in a deal that values its business at $1.3 billion with the help of a special purpose acquisition company, or SPAC, called Mudrick Capital Acquisition Corp.
"We took this route because it's a limited distraction to management, there's a lot of flexibility, we can value our company through the process of going through the SPAC,”
Michael Eisner, the former CEO of Disney, and Topps’ chairman.
Topps’ net sales rose 23% in 2020 to $567 million, a record high for the company. While Topps is best known for its sports trading cards, it has branched out into interactive mobile apps to connect collectors and recently expanded into nonfungible tokens. Ownership of an NFT is recorded on a blockchain, similar to the networks that underpin cryptocurrencies. Each NFT is unique and can’t be duplicated, just like owning an original painting or a rare baseball card.
Topps also has a gift cards business under the name Topps Digital Services, where it works with companies like Netflix, Airbnb and Nike. Its candy segment includes iconic brands like Bazooka, Ring Pop and Baby Bottle Pop and accounts for 35% of sales.