The newly formed company that owns Collectors Universe, parent firm of PSA, is buying Goldin Auctions. Collectors Holdings, LP announced Thursday morning that is was acquiring the New Jersey-based auction company just a few months after it had received a $40 million investment from The Chernin Group and others.
Collectors Holdings is owned by a group that includes Collectors Universe Chairman Nat Turner, a long-time hobbyist and entrepreneur who led a successful effort to take that company private earlier this year.
Goldin Auctions Founder and Executive Chairman Ken Goldin has signed a multi-year agreement to remain in his role while also retaining a minority ownership stake in the business. Ross Hoffman, who recently joined Goldin Auctions as CEO, will also remain in his position.
Collectors Holdings and Goldin Auctions say that while one company now owns the other, they promise each will continue operating as independent companies and that no significant operational changes will occur. In other words, they know you’re wondering about what might appear to be conflicts of interest between a grading/authentication company and an auction house that’s in the business of selling collectibles for as much as it can.
“We are operating the same today as we did yesterday,” Goldin told SC Daily. “There will be a firewall between Collectors Universe and Goldin. I will not get better service or preferential grading from Collectors Universe. I will still do business with PSA’s competitors. I will continue to use SGC and Beckett.”
Turner, who also owns stakes in other new hobby-oriented businesses including Genamint, which is adding artificial intelligence to PSA’s grading process, has maintained that his goal in investing in multiple hobby-related entities is to grow them through the use of advanced tools employed in the larger business world where he’s made his mark.
Collectors Holdings describes itself as “dedicated to investing in and growing the collectibles industry, focused on developing leading tools and services to better enable seamless participation for hobbyists as well as new enthusiasts and alternative investors… committed to supporting the maturation of the industry by making key investments, including in scalable, modern infrastructure and R & D.”
“We are incredibly excited to join Ken, Ross and the other amazing team members at Goldin Auctions,” Turner stated. “While Goldin Auctions will continue to operate independently, we all share the same vision of using innovative technology to enhance and grow the industry for the benefit of all.”
Goldin cited the “bullishness that exists” with investors in hobby-related developments and believes the new deal is evidence that more is on the way.
“If you look at the investors in Collectors Holdings, you look at the value they bring. It’s having access to a pool of money and talent and technology that is world class,” Goldin said. “It’s an elite group.”
After the investment it received in February, Goldin Auctions has tripled its staff and is in the process of adding 15,000-square-feet of space to its operation. The company has already sold $200 million worth of trading cards and memorabilia in the last six months and is already expanding its auction services to include video games. It’s expected to compete with larger auction companies in the near future as it prepares to launch a larger, self-contained website for collectibles this summer, using its own proprietary software.
“This is my 40th year collecting and selling cards and I still absolutely love coming to work every day,” said Goldin. “Everyone in the hobby knows about the explosive growth we’re seeing as new collectors have flocked in, including a younger generation and international buyers. There’s no slowing down and we have a lot planned that we know every collector is going to love.”
The most exciting news of my entire career… 🙏🏼 @GoldinAuctions pic.twitter.com/TwgSUd0GKi
— Ken Goldin (@KenGoldin) July 1, 2021