On May 1, Soulja Boy tweeted that he had just locked down a $400 million deal.
“$400 million deal confirmed. I still they think they low balled me though. I was thinking 2 or 3 billion,” he wrote.
$400 million deal confirmed. I still they think they low balled me though. I was thinking 2 or 3 billion..
— Soulja Boy (@souljaboy) May 1, 2016
A company worth just over $52 million couldn’t possibly afford to cut a $400 million endorsement deal.
Company spokesperson Matthew Bird explained to Forbes that the deal includes both stock and revenue-sharing.
“He really kind of jumped the gun” by using the $400 million figure, Bird says. “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.”
Based on all of the information above, Charlamagne Tha God, gave SB the “Donkey of the Day” for Monday, May 23.