Kanye West‘s net worth plummeted by an estimated $1.6 billion on Tuesday after Adidas announced that it would be terminating its partnership with the rapper amid controversy surrounding antisemitic and hateful comments made by the rapper on social media.
Neil Mockford | Getty Images “After a thorough review, the company has taken the decision to terminate the partnership with Ye immediately, end production of Yeezy branded products and stop all payments to Ye and his companies. Adidas will stop the Adidas Yeezy business with immediate effect,” Adidas said in a release.
According to reports, the Adidas x Kanye West partnership brings in around $2 billion in revenue for the company each year, an estimated 10% of the company’s total annual revenue.
The severing of ties puts West’s current net worth at an estimated $400 million.
Original story below.
Artist Kanye West is now the richest Black man in U.S. history, People reports.
The 43-year-old rapper, whose hit singles include “Stronger,” “Heartless” and “Gold Digger,” is worth approximately $6.6 billion — less than a year after he first appeared on Forbes‘ annual billionaires list. The jump is largely attributed to West’s sneaker and apparel brand Yeezy, which is currently valued between $3.2 billion and $4.7 billion by UBS Group AG.
Though West initially claimed that his net worth was more than $3 billion in April 2020, Forbes disputed the figure at the time and put the number closer to $1.3 billion.
Related: 3 Entrepreneurial Lessons to Learn From Kanye West
The rapper has full ownership and creative control of Yeezy but also has a partnership deal with Adidas AG and — more recently — Gap Inc. West signed a 10-year deal with the latter company in June 2020. A Bloomberg report notes that the value of that particular partnership “could be worth as much as $970 million of that total.”
In addition to his Yeezy brand, West reportedly has $122 million in cash and stock. He also has $110 million from his music catalog (the rapper has released nine studio albums and three collaborative albums to date) and $1.7 billion in other assets — including a stake in his estranged wife Kim Kardashian‘s SKIMS line.
West joins investor Robert F. Smith as the only two Black businessmen with a net worth of at least $6 billion.
https://www.entrepreneur.com/article/367401