Fantex IPO Prospects Suffer Setback With Foster, Davis Injuries
Sunday was "a bad day for Fantex, the fledgling company promoting initial public offerings" of Texans RB Arian Foster and 49ers TE Vernon Davis, according to Peter Lattman of the N.Y. TIMES. Reports surfaced on Sunday that Foster was "expected to have back surgery that will end his season." Davis then left the 49ers-Panthers game "in the first half after suffering a concussion and did not return." Fantex acknowledged that the chance of injury was a "significant risk when it unveiled its innovative business last month." A Fantex spokesperson "declined to comment until after the Texans announced details" about Foster’s future. Lattman notes the players' injuries "are not the company’s only setbacks." Fantex had "hoped to offer its first IPO at the start of the NFL season, in part to avoid a midseason injury that could hamper a deal." But the "review process by Wall Street regulators, especially at the Financial Industry Regulatory Authority, took longer than anticipated, which held up the company’s debut" (N.Y. TIMES, 11/12).