SoftBank Is Said to Bet $1 Billion on Web Sports Store Fanatics

SoftBank Group is nearing a $1 billion investment in Fanatics, an online retailer of licensed sports apparel, as the Japanese firm ramps up deal-making with its mega technology fund, according to Bloomberg.

The deal is expected to increase Fanatics’s value to about $4.5 billion, said a person familiar with the matter. It will bring the company’s total funding to about $1.7 billion, said the person, who asked not to be identified because the details are private.

Since starting in Jacksonville, Florida, more than two decades ago, Fanatics has expanded into practically every facet of the sports apparel industry. It works with Major League Baseball and the National Football League, among others. The company sells products ranging from shirts and jerseys to branded bobble-heads, lawn chairs, mugs and grills. It also has a rapidly growing memorabilia business with sports stars.

The deal suggests that SoftBank’s Masayoshi Son is looking to compete with the likes of Adidas, Nike and Under Armour in licensed sports gear. This won’t be Son’s first e-commerce bet: He was an early backer of China’s Alibaba Group, itself an investor in Fanatics.

Over the past six months, SoftBank’s Vision Fund, a nearly $100 billion vehicle for backing tech companies, has explored investments in industries as disparate as ride-hailing, co-working, robotics, agriculture, health care and autonomous driving.