April 29, 2014 in Sports

Stock in Davis up 10%

 

At least a few investors are rooting for San Francisco 49ers tight end Vernon Davis to have a lucrative career. An unusual stock tied to Davis’ earning potential gained $1, hitting the $11 mark in its trading debut Monday. Only 352 of the 421,100 shares sold in the initial public offering by San Francisco startup Fantex Inc. had traded as of late Monday afternoon. The stock’s 10 percent gain represents a vote of confidence in Davis, an eight-year veteran who has emerged as one of the best tight ends in the National Football League. This marks the first time a stock has been linked to the performance of a professional athlete, a risky concept that highlights the confluence of sports and business. “We think it’s historic, not just from a sports perspective, but from a finance perspective, too,” Fantex CEO Buck French said in an interview. – AP


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