As of the present day, only one NFL team has the distinction of being publicly owned by their fans. In the brave new world of NFTs and cryptocurrency, the Green Bay Packers have elected to offer their sixth stock offering in the franchises history. This is monumental on the surface. Or is it? Owning shares of the Green Bay Packers may be nothing more than a PR gimmick.

The PackersStock website says that ownership of the Green Bay Packers is one of the greatest legacies in all of sports. They even say that it binds families, generations, and communities. The problem is that this investment is not really a classical investment at all. PackersStock.com’s landing page says right up front:

Common stock does not constitute an investment in “stock” in the common sense of the term.

Purchasers should not purchase common stock with the purpose of making a profit.

If these two issues above are true, why bother with it being called a stock offering at all?

Collectors Dashboard evaluates high-end collectibles as an alternative asset class. This means collectibles are attracting the same capital that could have been invested into stocks or bonds. This almost sounds on the surface like it is a perfect blend of high-end collectibles and investing. Unfortunately, it isn’t if you ever care about getting your money out of it. In a world where collectors with passion have to compete directly against investors who just want to make a profit, there is a serious question here about what the shares are really worth.

Collectors Dashboard has covered the sales of Green Bay Packers stock in the form of physical stock certificates from 1923 that would be the prize of any trophy room. Is this share offering any different, worse, or the same?

The Packers will offer 300,000 shares and sales will be limited to 200 shares — counting any shares that the person purchased
in the 1997-1998 and 2011-2012 offerings. Also noted is that the price per share will be $300, and there will be a $35.00 handling fee for each certificate of one or more share. Is that supposed to feel like an 11.66% commission?

Only individuals (including spouses as joint tenants) will be able to purchase shares. Individuals can also purchase shares as a gift for other individuals. The offering will initially be limited to persons in the United States, as well as Guam, Puerto Rico and the U.S. Virgin Islands, subject to completing regulatory processes in certain states. And shares will be sold payable by check or online with credit cards, debit cards, or electronic bank transfers. This offering will continue until Feb. 25, 2022, subject to extension.

The team’s previous five stock sales are according to the teams website directly responsible for the teams prosperity on the field. The dates include the following: 1923, 1935, 1950, 1997 and 2011. Before this announcement approximately 361,300 people are owners of the iconic franchise hold approximately 5,009,400 shares.

There is a pretty harsh reality here in the actual terms of what “ownership” and “shares” really mean here:

• Although Common Stock is capital stock of the Corporation, Common Stock does not constitute an investment in “stock” in the common sense of the term.
• Common Stock does not provide shareholders with any opportunity to participate in the economic performance of the Corporation because, among other things, no dividends or distributions upon liquidation can ever be paid to shareholders.

The corporation’s bylaws are also shown to drastically limit the transferability of this common stock. It even noted that the corporation has a right of first refusal to repurchase this common stock — at a price of $0.025 per share if any shareholder proposes to transfer the common stock to a third party. And it further specified:

As a result, it is virtually impossible for anyone to realize a profit on a purchase of Common Stock or even to recoup the amount initially paid to acquire such Common Stock.

When investors buy shares in Apple, Microsoft, 3M, Verizon and most other great public companies, they are entitled to an actual piece of the company and they are entitled to votes. And while those votes are extremely limited on an individual ownership basis, they also come with rights to dividends. This Packers offering feels more like a fundraiser that just makes fans think they are a larger part of this historic football team.

The harsh reality is that no hostile takeover from a fan behind a computer screen is even remotely possible here. In a world of fractional ownership here is something to display. Just make no mistake in that this is really only a display. At least the purchase of “shares” is shown to be toward supporting the team.

Will Packers fans really feel like they are contributing to the longevity of Lambeau Field and one of the oldest teams in football if they know what they are buying has no real value at all?

This may not feel all that supportive, but couldn’t the team have just formed a charitable organization and allowed fans and donors to contribute under the hope of a tax-free write-off instead?