A-Mark Expands Product Portfolio into Collectibles by Acquiring the Parent of Stack’s Bowers Galleries, A Leading Global Rare Coin Auction House and Dealer
A-Mark Precious Metals (NASDAQ: AMRK) has announced a definitive agreement to acquire Spectrum Group International (SGI) for $92 million, paid 50% in cash and 50% in A-Mark common stock. SGI is the parent company of Stack's Bowers Galleries (SBG), a leading rare coin auction house and dealer, and majority owner of Spectrum Wine (SW).
SBG reported strong financial performance with total revenue of $536.4 million for FY2024 and $311.2 million for H1 2025. The acquisition aims to expand A-Mark's reach into higher-margin luxury markets and create cross-selling opportunities between A-Mark's customers and SGI's collectors, investors, and dealers. The transaction is expected to close within 30 days, subject to SGI shareholder approval and other conditions.
A-Mark Precious Metals (NASDAQ: AMRK) ha annunciato un accordo definitivo per acquisire Spectrum Group International (SGI) per 92 milioni di dollari, pagati al 50% in contante e al 50% in azioni ordinarie A-Mark. SGI è la società madre di Stack's Bowers Galleries (SBG), un importante casa d'aste e rivenditore di monete rare, nonché socio di maggioranza di Spectrum Wine (SW).
SBG ha riportato buone performance finanziarie con un fatturato totale di 536,4 milioni di dollari per l'anno fiscale 2024 e 311,2 milioni di dollari per il primo semestre del 2025. L'acquisizione mira ad espandere la portata di A-Mark nei mercati di lusso a margini elevati e a creare opportunità di cross-selling tra i clienti di A-Mark e i collezionisti, investitori e rivenditori di SGI. Si prevede che la transazione si concluda entro 30 giorni, soggetta all'approvazione degli azionisti di SGI e ad altre condizioni.
A-Mark Precious Metals (NASDAQ: AMRK) ha anunciado un acuerdo definitivo para adquirir Spectrum Group International (SGI) por 92 millones de dólares, pagados al 50% en efectivo y al 50% en acciones ordinarias de A-Mark. SGI es la empresa matriz de Stack's Bowers Galleries (SBG), una casa de subastas y vendedor líder de monedas raras, y propietario mayoritario de Spectrum Wine (SW).
SBG reportó un sólido rendimiento financiero con ingresos totales de 536,4 millones de dólares para el año fiscal 2024 y 311,2 millones de dólares para el primer semestre de 2025. La adquisición tiene como objetivo expandir el alcance de A-Mark en mercados de lujo de mayores márgenes y crear oportunidades de venta cruzada entre los clientes de A-Mark y los coleccionistas, inversionistas y vendedores de SGI. Se espera que la transacción se cierre en un plazo de 30 días, sujeta a la aprobación de los accionistas de SGI y otras condiciones.
A-Mark Precious Metals (NASDAQ: AMRK)는 9200만 달러에 Spectrum Group International (SGI)을 인수하기 위한 최종 계약을 발표했습니다. 이는 50%는 현금으로, 50%는 A-Mark의 보통주로 지급됩니다. SGI는 희귀 동전 경매 및 판매를 선도하는 Stack's Bowers Galleries (SBG)의 모회사이며, Spectrum Wine (SW)의 대다수 주주입니다.
SBG는 2024 회계연도에 총 5억 3640만 달러, 2025년 상반기 3억 1120만 달러의 강력한 재무 성과를 보고했습니다. 이번 인수는 A-Mark의 고수익 럭셔리 시장에 대한 진출을 확대하고 A-Mark의 고객과 SGI의 수집가, 투자자 및 판매자 간의 교차 판매 기회를 창출하는 것을 목표로 하고 있습니다. 거래는 SGI 주주의 승인 및 기타 조건에 따라 30일 이내에 종료될 것으로 예상됩니다.
A-Mark Precious Metals (NASDAQ: AMRK) a annoncé un accord définitif pour acquérir Spectrum Group International (SGI) pour 92 millions de dollars, payé à 50% en espèces et à 50% en actions ordinaires d'A-Mark. SGI est la société mère de Stack's Bowers Galleries (SBG), une maison de vente aux enchères et un revendeur leader de pièces rares, ainsi que propriétaire majoritaire de Spectrum Wine (SW).
SBG a rapporté de solides performances financières avec des revenus totaux de 536,4 millions de dollars pour l'exercice 2024 et 311,2 millions de dollars pour le premier semestre 2025. L'acquisition vise à étendre la portée d'A-Mark dans des marchés de luxe à forte marge et à créer des opportunités de vente croisée entre les clients d'A-Mark et les collectionneurs, investisseurs et revendeurs de SGI. La transaction devrait être finalisée dans un délai de 30 jours, sous réserve de l'approbation des actionnaires de SGI et d'autres conditions.
A-Mark Precious Metals (NASDAQ: AMRK) hat eine endgültige Vereinbarung über die Übernahme von Spectrum Group International (SGI) für 92 Millionen Dollar bekannt gegeben, zahlbar zu 50% in bar und zu 50% in A-Mark-Stammaktien. SGI ist die Muttergesellschaft von Stack's Bowers Galleries (SBG), einem führenden Auktionshaus und Händler für seltene Münzen, sowie mehrheitlicher Eigentümer von Spectrum Wine (SW).
SBG berichtete über eine starke finanzielle Leistung mit Gesamterlösen von 536,4 Millionen Dollar für das Geschäftsjahr 2024 und 311,2 Millionen Dollar für das erste Halbjahr 2025. Die Übernahme zielt darauf ab, A-Marks Reichweite in den margenstarken Luxusmärkten zu erweitern und Cross-Selling-Möglichkeiten zwischen A-Marks Kunden und SGIs Sammlern, Investoren und Händlern zu schaffen. Der Abschluss der Transaktion wird innerhalb von 30 Tagen erwartet, vorbehaltlich der Genehmigung der SGI-Aktionäre und weiterer Bedingungen.
- Expansion into higher-margin luxury collectibles market
- SBG's strong financial performance: $536.4M revenue in FY2024
- Significant cross-selling opportunities between customer bases
- Additional revenue stream through Spectrum Wine division
- Enhanced financing options for consignors through A-Mark's lending solutions
- High acquisition cost of $92M with 50% cash payment required
- Complex transaction requiring multiple approvals and conditions
- Potential integration challenges between different business models
Insights
This strategic acquisition marks A-Mark's calculated expansion into the premium collectibles market, presenting multiple value-creation opportunities. The transaction's structure reveals sophisticated financial engineering - the
The financial metrics are particularly compelling. SBG's
Key synergistic opportunities include:
- Cross-selling to A-Mark's existing customer base, potentially accelerating SBG's auction and retail growth
- Leveraging A-Mark's Collateral Finance to provide financing solutions, potentially increasing auction participation and transaction volumes
- Operational efficiencies in shared services and technology infrastructure
While the related-party nature of the transaction warrants scrutiny, the establishment of an independent special committee and engagement of separate financial and legal advisors demonstrates proper governance protocols. The transaction's proximity to core operations and management's familiarity with both businesses should facilitate successful integration and synergy realization.
This acquisition strategically positions A-Mark at the intersection of precious metals and luxury collectibles, two markets that historically demonstrate complementary performance characteristics. The rare coin market, estimated at several billion dollars annually, offers superior margins and attracts high-net-worth collectors who view numismatics as both an investment and passion.
The timing is particularly opportune given the growing interest in alternative investments and tangible assets. The fine wine market, while currently a minor component, provides exposure to a rapidly growing luxury segment that has shown resilience during economic downturns. This diversification could help smooth A-Mark's revenue and earnings profile across different market cycles.
Stack's Bowers' hybrid business model, combining high-margin auctions with steady dealership operations, provides multiple revenue streams and market advantages:
- Auction services create price discovery and market liquidity
- Dealership operations provide stable inventory and trading opportunities
- Combined operations offer valuable market intelligence and pricing power
The expansion into collectibles also positions A-Mark to capture a larger share of wallet from existing customers while attracting new customer segments interested in portfolio diversification beyond traditional precious metals.
EL SEGUNDO, Calif., Feb. 03, 2025 (GLOBE NEWSWIRE) -- A-Mark Precious Metals, Inc. (NASDAQ: AMRK) (A-Mark or the Company), a leading fully integrated precious metals platform, has entered into a definitive agreement to acquire
The transaction is intended to complement A-Mark’s core bullion business by, among other benefits, increasing its reach into strategically adjacent luxury markets that are expected to offer higher margins and expanded customer bases.
A-Mark will pay
Spectrum Group International Overview
A-Mark has a long-standing relationship with SGI. A predecessor entity of SGI acquired
A. Stack’s Bowers Galleries
SBG was founded in 1933 in New York and has grown to become a global leader in numismatics and bullion operating in two complementary units. The Auction Services unit conducts in-person, internet and specialized auctions of consigned and owned items and has sold a wide range of the most important rarities and numismatic collections over its distinguished history. SBG’s Dealership unit maintains a sizeable inventory of rare coins and paper money that it sells as both a wholesaler to other retailers and a Direct-to-Consumer dealer. It also maintains a meaningful bullion inventory and is an important A-Mark trading partner. In addition, SBG complements A-Mark’s distribution network in that it works with smaller institutional as well as retail customers. SBG is headquartered in Costa Mesa, California and operates additional offices in the United States, Europe and Asia.
SBG’s financial highlights for the fiscal year ended June 30, 2024, include the following:
- Total Revenue of
$536.4 million consisting of$24.0 million from the Auction Service unit and$512.4 million from the Dealership unit
- Gross Profit of
$46.1 million
- EBITDA of
$10.9 million
SBG’s unaudited financial highlights for the six months ended December 31, 2024, include the following:
- Total Revenue of
$311.2 million consisting of$19.5 million from the Auction Service unit and$291.7 million from the Dealership unit
- Gross Profit of
$30.0 million
- EBITDA of
$10.3 million
B. Spectrum Wine
Spectrum Wine was founded in 2009 and has sold over
Management Commentary
“Acquiring SGI is a strategic step that significantly enhances A-Mark’s position in high-value collectibles,” said A-Mark CEO Greg Roberts. “By integrating Stack’s Bowers Galleries’ expertise in rare coins and paper currency, we are expanding into a bullion-adjacent category that commands higher premiums and stronger margins while also broadening our customer base. Spectrum Wine’s focus on premium wines introduces a new revenue stream that complements our business model including Direct-to-Consumer expertise.
“This transaction also creates meaningful cross-selling opportunities as significant synergies exist between A-Mark’s Direct-to-Consumer and wholesale customers and SGI’s collectors, investors, and dealers. Having led SGI for many years, I am optimistic this acquisition will be financially and strategically accretive to A-Mark.”
Brian Kendrella, President of SBG, added: “Joining forces with A-Mark allows us to leverage its financial strength and operational scale to accelerate growth in our auction, wholesale and retail businesses. Access to A-Mark’s lending solutions offered by its Collateral Finance Corporation secured lending subsidiary will provide enhanced financing options for consignors and bidders, and cross promotion of our auction and retail listings to A-Mark’s Direct-to-Consumer customers is expected to provide a significant opportunity for growth and added value to our auction consignors.”
A-Mark management will discuss the transaction on its fiscal second-quarter earnings call scheduled for Thursday, February 6, 2025, at 4:30 p.m. Eastern Time. Conference call and webcast details can be found here.
Transaction Advisors
Roth Capital Partners is acting as financial advisor and Kramer Levin Naftalis & Frankel LLP is acting as legal counsel to the Special Committee of the A-Mark Board of Directors.
D.A. Davidson & Co. is acting as financial advisor and Olshan Frome Wolosky LLP is acting as legal counsel to SGI.
About A-Mark Precious Metals
Founded in 1965, A-Mark Precious Metals, Inc. is a leading fully integrated precious metals platform that offers an array of gold, silver, platinum, palladium, and copper bullion, numismatic coins, and related products to wholesale and retail customers via a portfolio of channels. The company conducts its operations through three complementary segments: Wholesale Sales & Ancillary Services, Direct-to-Consumer, and Secured Lending. The company’s global customer base spans sovereign and private mints, manufacturers and fabricators, refiners, dealers, financial institutions, industrial users, investors, collectors, e-commerce customers, and other retail customers.
A-Mark’s Wholesale Sales & Ancillary Services segment distributes and purchases precious metal products from sovereign and private mints. As a U.S. Mint-authorized purchaser of gold, silver, and platinum coins since 1986, A-Mark purchases bullion products directly from the U.S. Mint for sale to customers. A-Mark also has longstanding distributorships with other sovereign mints, including Australia, Austria, Canada, China, Mexico, South Africa, and the United Kingdom. The company sells more than 200 different products to e-commerce retailers, coin and bullion dealers, financial institutions, brokerages, and collectors. In addition, A-Mark sells precious metal products to industrial users, including metal refiners, manufacturers, and electronic fabricators.
A-Mark’s consolidated subsidiary, LPM Group Limited (LPM), is one of Asia’s largest precious metals dealers. LPM operates a consumer-facing showroom in Hong Kong’s Central Financial District, and offers a wide selection of products to its wholesale customers through its 24/7 online trading platform, including recently released silver coins, gold bullion, certified coins, and the latest collectible numismatic issues.
Through its A-M Global Logistics subsidiary, A-Mark provides its customers with a range of complementary services, including managed storage options for precious metals as well as receiving, handling, inventorying, processing, packaging, and shipping of precious metals and coins on a secure basis. A-Mark’s mint operations, which are conducted through its wholly owned subsidiary Silver Towne Mint, enable the company to offer customers a wide range of proprietary coin and bar offerings and, during periods of market volatility when the availability of silver bullion from sovereign mints is often product constrained, preferred product access.
A-Mark’s Direct-to-Consumer segment operates as an omni-channel retailer of precious metals, providing access to a multitude of products through its wholly owned subsidiaries, JM Bullion and Goldline. JMB owns and operates numerous websites targeting specific niches within the precious metals retail market, including JMBullion.com, ProvidentMetals.com, Silver.com, CyberMetals.com, GoldPrice.org, SilverPrice.org, BGASC.com, BullionMax.com, and Gold.com. Goldline markets precious metals directly to the investor community through various channels, including television, radio, and telephonic sales efforts. A-Mark is the majority owner of Silver Gold Bull, a leading online precious metals retailer in Canada, and also holds minority ownership interests in three additional direct-to-consumer brands.
The company operates its Secured Lending segment through its wholly owned subsidiary, Collateral Finance Corporation (CFC). Founded in 2005, CFC is a California licensed finance lender that originates and acquires loans secured by bullion and numismatic coins. Its customers include coin and precious metal dealers, investors, and collectors.
A-Mark is headquartered in El Segundo, CA and has additional offices and facilities in the neighboring Los Angeles area as well as in Dallas, TX, Las Vegas, NV, Winchester, IN, Vienna, Austria, and Hong Kong. For more information, visit www.amark.com.
A-Mark periodically provides information for investors on its corporate website, www.amark.com, and its investor relations website, ir.amark.com. This includes press releases and other information about financial performance, reports filed or furnished with the SEC, information on corporate governance, and investor presentations.
Important Cautions Regarding Forward-Looking Statements
Statements in this press release that relate to future plans, objectives, expectations, performance, events and the like are "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995 and the Securities Exchange Act of 1934. These include statements regarding the occurrence and the timing of the closing of the transaction described in this release, and the anticipated benefits to A-Mark and its affiliates of the transactions. Future events, risks and uncertainties, individually or in the aggregate, could cause actual results or circumstances to differ materially from those expressed or implied in these statements. Factors that could cause actual results or circumstances to differ include the following: Delays in consummating the transaction, or the inability to consummate the transaction because certain conditions to closing are not satisfied, including the failure to obtain necessary third-party consents or approvals, timely or not at all; greater than anticipated costs incurred to consummate the transaction and to integrate the businesses of SGI within A-Mark; the future performance of the businesses of SGI being weaker than what is forecasted; the inability to grow the businesses of SGI as anticipated; the failure to realize cross-selling opportunities and synergies; and the strategic, business, economic, financial, political and governmental risks and other Risk Factors affecting the businesses of the company and the industries in which it operates, as described in in the company’s public filings with the Securities and Exchange Commission.
Company Contact:
Steve Reiner, Executive Vice President, Capital Markets & Investor Relations
A-Mark Precious Metals, Inc.
1-310-587-1410
sreiner@amark.com
Investor Relations Contacts:
Matt Glover and Greg Bradbury
Gateway Group, Inc.
1-949-574-3860
AMRK@gateway-grp.com
FAQ
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