The blank-check company founded by former NFL execs John Collins and Eric Grubman raised $400M in an IPO, up from the originally planned $350M. Sports Entertainment Acquisition Co., expected to begin trading on the New York Stock Exchange, wants to acquire high-growth potential businesses coming out of the sports industry. “We intend to focus on the sports and entertainment sectors as well as the technology and services that are associated with these verticals,” the company said in its initial filings. “Examples of these technology/service areas include media, ticketing, payments processing, entertainment travel, gaming, loyalty programs and many others.” Investors have indicated they are interested in providing additional capital, for up to between $1B-$5B, once an acquisition target is identified, a source familiar with the funding raise said. In its prospectus, the company said it was looking for companies with the potential to emulate the likes of ESPN, Ticketmaster, StubHub or Fanatics.
ON BACKGROUND: Collins, the former CEO of the NFL-backed On Location Enterprises, joined with Grubman, a former Exec VP of the NFL, and Chris Shumway, the billionaire founder of Shumway Capital, to launch the company. PJT Partners is also on as a sponsor and an underwriter of the IPO along with Goldman Sachs. Two independent directors include Tim Goodell, NFL Commissioner Roger Goodell’s brother and Exec VP & general counsel for Hess Corporation; and Natara Holloway, the NFL's VP/Business Operations & Strategy for Football Operations.
