SGC Grading to Operate Independently After Collectors Acquisition
PSA parent company Collectors officially announced its stunning acquisition of SGC Grading Thursday morning.
One of PSA’s top competitors in the trading card grading space, SGC will continue to operate independently. SGC President Peter Steinberg will also continue to run the company’s day-to-day operations.
The deal was confirmed by sources to Sports Illustrated and SI Collects Wednesday evening.
“Our portfolio focuses on service providers that bring expertise, quality and value to hobbyists, and SGC has built a strong reputation on these three fronts,” Collectors CEO Nat Turner said in a statement. “We recognize that every collector has their own preferred authentication and grading provider, and we look forward to providing expertise that will continue to enhance SGC’s customer offering.”
ANNOUNCEMENT 2/29/2024
— SGC (@sgcgrading) February 29, 2024
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Steinberg added: “This is all about our customers, and we are excited to take this major step forward as we continue to improve SGC’s products and services that collectors have come to love. We can’t imagine a more like-minded partner than Collectors to help innovate SGC’s overall offering as a trusted brand and authority in the collectibles industry.”
Founded in 1998, SGC Grading joins a Collectors portfolio of companies that already includes PSA, Goldin Auctions, video game grader WATA Games and data platform Card Ladder.
First introduced in 1991, PSA has grown to be the grading industry leader. By far the largest of the four major grading companies by volume, PSA held a 78% market share in 2023, according to third-party grading tracker GemRate.
According to GemRate, SGC finished 2023 third in market share (7%) behind CGC Cards (10%) and ahead of Beckett (4%). GemRate recorded that PSA graded 13.5 million items in 2023 while SGC graded 1.2 million.
A favorite among vintage collectors, SGC greatly increased its intake in recent years amid a push into the ultra-modern sports card and trading card game markets, which resulted in a 29% increase in total items graded in 2023.
SGC has also been praised by hobbyists for faster turnaround times and more competitive pricing.
“To be clear, SGC will remain an independent grading brand and no changes are contemplated,” Steinberg said in a video announcement Thursday morning. “Joining forces with the Collectors team will allow SGC to double down our strengths while greatly enhancing our capabilities to innovate and modernize our offerings moving forward.”
Financial details of the acquisition weren’t provided.
