4.6 C
New York
Monday, December 11, 2023

Kanye West ‘No Longer a Billionaire’ After Adidas Deal Termination, Forbes Report

Date:

Share post:

Kanye West has lost his billionaire status, according to Forbes, after Adidas ended a lucrative Yeezy apparel deal in response to his string of percieved anti-Semitic statement.

Of West’s estimated $2 billion fortune, $1.5 billion stems from his relationship with Adidas, Forbes said Tuesday. Losing the deal effectively wipes out that huge chunk of his net worth, now estimated at a comparatively paltry $400 million.

The estimated value of West’s $1.5 billion deal with Adidas is based on a multiple of the partnership’s annual revenue, according to Forbes.

Kanye West

The publication noted that his remaining net worth is tied to his music catalog, real estate holdings, cash and cash equivalents, and his 5% stake in Skims, the growing clothing brand of his ex-wife Kim Kardashian.

“When you part ways with a big company that is your distributor, that has to impact your bottom line,” Joe Favorito, a professor of sports management at Columbia University, told The Post.

For years, West, who changed his name to Ye last year, has publicly accused the media of underestimating the size of his business empire.

Also, read; “I’m 43% Nigerian,” Meghan Markle Opens Up In Latest Episode of Her Podcast

During a controversial interview with NewsNation’s Chris Cuomo earlier this month, an unpredictable West said that “the Jewish underground media mafia” was “attacking” him – in part for misrepresenting his wealth.

“They never call me a billionaire,” West grumbled. “Hey tycoon, billionaire, visionary, inventor – this is never used.”

In its report, Forbes said West would contact the publication “every year” to complain about its ratings.

Estimates of West’s net worth have varied greatly in recent years. While Forbes put the value at $2 billion, in 2021 Bloomberg claimed it was worth up to $6.6 billion.

Last year, The Post received financial documents showing that the total value of West’s Adidas segment could reach $3.7 billion.

Kanye West ‘No Longer a Billionaire’ After Adidas Deal Termination, Forbes Report

Adidas acknowledged that its decision to cut ties with West would have a “short-term negative impact” on its 2022 net income of around $250 million due to the proximity of the critical holiday quarter.

In a note to clients, Baird analyst Jonathan Komp estimated that the partnership with Yeezy generated approximately $1.8 billion in annual revenue and a “high operating margin of 30%” for the company.

LEAVE A REPLY

Please enter your comment!
Please enter your name here

- Advertisement -

Related articles

High School Coach Fired After Organizing Christian Baptism Ceremony for High School Players

Despite the controversy, some parents, including Latifa Johnson, expressed support for Ferrell's decision to allow the baptism and regarded him as a positive role model for their children.

Angolan Monarch Ekuikui VI Visits Brazilian Descendants of Formerly Enslaved Africans

Amidst the celebratory ambiance, King Ekuikui VI's visit symbolized more than a diplomatic encounter

Jada Pinkett Smith Reveals She and Will Smith Have Been Separated Since 2016

According to Pinkett Smith, she and Smith have been living separately and leading "completely separate lives" since 2016

Prince Harry and Meghan Markle Consider Trial Separation Amidst Strained Marriage

Prince Harry and Meghan Markle's tumultuous journey takes another turn as reports suggest a trial separation may be...