It seems Rapper Soulja Boy’s reported $400 million deal with World Poker Fund may not actually worth $400 million after all.
Soulja Boy raised a few eyebrows when he announced that he had signed a deal with the “in-flight gaming” World Poker Fund, with many viewing it as a publicity stunt until the company confirmed the deal last week.
However, it seems there was some misunderstanding and both parties may have jumped the gun. It seems the company won’t be paying the rapper in cold hard cash but rather in stock, the value of which was capped at $400 million.
According Matthew Bird, company spokesperson, “He really kind of jumped the gun” by using the $400 million figure, “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.”