E.J. Manuel IPO expected soon

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Anyone interested in diversifying their portfolio of holdings in professional athletes will be able to buy stock in Bills quarterback E.J. Manuel soon.

Manuel signed with Fantex, the brokerage that buys percentages of athletes’ future earnings and then sells shares to the public, in February and Mike Rodak of ESPN.com reports that the company is expected to announce the date of an initial public offering of Manuel’s shares on Thursday. Per Rodak, the company is paying Manuel $4.97 million for 10 percent of his “brand income” and the company is expected to offer 523,700 shares to the public at $10 a share.

The company projects Manuel will earn $104 million before and after his playing career, an assessment that would make any investors in Manuel stock as tied to his growth in 2014 as a member of the Bills organization. If Manuel becomes a quality NFL starter, that $104 million in earnings will likely be a low estimate of his earning and the Bills will be as happy as Fantex investors. If signs of that development aren’t there, though, Manuel may not be a starter long enough to make even a quarter of that amount.

The company has already started trading stock in 49ers tight end Vernon Davis, whose issue is trading at $11 as of Thursday morning after also opening trading at $10 a share. Fantex also struck a deal with Texans running back Arian Foster, but an initial offering has been postponed indefinitely.

32 responses to “E.J. Manuel IPO expected soon

  1. The reason I’m not confident about athlete stock offerings in general is that no confident athlete would assume that the money that one of these companies offered would exceed his future earnings.

  2. I already own a share of Vernon Davis’ left pinky toenail

    Perhaps owning a nostril hair of Manuel would be a worthy investment.

    Nah – I’m just going to put all my money into the concealable weapons industry and that way when society crumbles I’m all set

  3. well least you can buY this guys stock while he is worth a penny but I cannot guaranteethat he will ever be worth too much more.

  4. $104 mil way too high for Manuel. Government contractors must have come up with that number.

  5. 100 mill projection for a guy coming off a torn acl…. so not only do they expect him to bounce back, but maintain his starting position and go on to earn a second lucrative contract.

    All this based off of one incomplete season in which he was injured.

    You can’t get rid of his stock fast enough

  6. All kidding aside, dropping $50 bucks on this might not be a bad idea. If Jump Ball Joe Flacco can land a $120 million contract, anything is possible.

  7. I was wondering, could we one day see college players doing this? I know the NCAA says they cant talk to an agent without losing eligibility, but would this be the same?

  8. They know he plays in Buffalo, right? Manuel Flakes just doesn’t have the same ring to it.

  9. Wow, they’re going to have to invent new words to truly describe just what a bad idea of spending one thin dime on this would be.

  10. This company is a scam that is a sucker’s bet. Setting aside that Manuel may or may not turn out to be a successful NFL QB that gets a couple big contracts and endorsements later in his career, all it takes is one injury to end or deflate those earnings massively.

    Personally I think there’s a snowball’s chance in hell of Manuel earning 100 mil or anything close to it.

  11. Its the wrong player, but they’re moving in the right direction with young players. Arian Foster and Vernon Davis are closer to out of the league than coming in. I give Arian Foster another 2 years, Davis maybe 4. By doing this with young QBs, you have a much better chance of actually making money. Andrew Luck should be in the league for 12-15 years. I just don’t think he’s stupid enough to mortgage his future earnings for some money right now. This isn’t a good deal for ANYONE involved except for players that know deep down that they’re not gonna be in the league much longer.

  12. Correct me if I’m wrong, I’m new to stocks, but if Manuel plays ten more years at an average salary of $5 million (current starter money combined with later years as a back up assuming he doesn’t cut it) than fantex makes $5 million solely off of his playing career, more than they invested in him overall. That’s a mediocre to bad career considering he was a first round pick so how does this deal seem good to Manuel? Does he make anything off of the sticks being traded?

  13. wasnt this a Honeymooners episode where Ralph sells 35% of future earnings…………..

  14. 10 % of 104 M = 10.4M so the value of the stock might DOUBLE from $10 to $20 bucks a share!!

    WOW!! BD!!!!

    Risk is your 10 dollars is worth as much as toilet paper!!

    Reward will be a LONG time to see the stock rise to $20 a share.

    Then what?? Say in 2 years he signs a big deal… 100M for 6 years.

    Everyone Sells @20 the market Crashes??

    After he signs the contract how does that effect the Stock? Since he gets X Amount per year.

    2020 He Signs for 100 M
    2021 – he gets 25 guarantee and 12 M Base (STOCK is at what price??)
    2022 – 16 M against Cap (Stock is at What??)

    Real Stocks don’t have a shelf life…

    Real winners is FanTEX making 260K on the IPO and on Every Sell / BUY!!!

    Player gets money up front, maybe Tax issues, maybe they Invest it and make more than the 10% they lose. 10 % in the future might not be that bad to the almost 5 Million now!

  15. Question: as part of the CBA the players get a % of all revenues generated by the NFL. So does the NFL get a percent of any revenue generated by their employees. I would guess not which don’t seem right. These players are using the NFL and the exposure they get to make money.

  16. Probably better to invest in Fantex.
    And does Manuel really need $5 mil. in his pocket right now?

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