Last year, there was talk that rapper Soulja Boy was involved with a startup called World Poker Fund Holdings. And this week, Soulja Boy confirmed the online poker sponsorship while valuing the partnership at $400 million.
Obviously this is an outrageous sum, especially for a rapper not named Drake. So the social media world immediately jumped on this in disbelief. And it turns out that any doubters were right as the details of Soulja Boy’s arrangement have been cleared up.
World Poker Fund spokesman Matthew Bird explained to HypeBeast that Soulja Boy was initially mistaken and the deal is capped at $400 million – not worth this amount.
Here’s a look at what he said:
“He really kind of jumped the gun. The deal is capped at $400 million, and it’s based on a forward-thinking valuation of the company. He’s young, he’s 25 years old. He got really excited, and he tweeted something he probably shouldn’t have tweeted. He was getting a lot of pressure from within the entertainment community, so he wanted to put a statement out. Obviously, the company’s market cap is at $51.8 million. There’s no way they could cut a $400 million deal. Endorsement deals are calculated on a lot of different factors. This is not a fully cash transaction.”
Soulja Boy has been somewhat quiet on the music scene ever since rising to stardom with his first big hit Soulja Boy Tellem. But what’s most attractive about this rapper is his social media following, which sits at 15 million followers.
It’s likely that Soulja Boy won’t be the only celebrity signed to World Poker Fund Holdings because the gaming company is partly owned by Floyd Mayweather Jr. and Justin Bieber. With this kind of star power behind the brand, they should have no trouble continuing to find celebrities to hawk their brand.