While he was scrambling and working hard to make it through the NBA eastern conference playoffs, he was also cashing in. Little did most of us know, LeBron James had a stake in Beats by Dre. When Apple bought the company, LeBron took advantage of his cash payout. According to the Washington Post:
…the 29-year-old was finalizing what is believed to be the biggest equity cash payout for a professional athlete in history as part of Apple’s recent $3 billion purchase of Beats Electronics. Sources briefed on the situation say James realized a profit of more than $30 million in cash and stock in the Beats sale after he had struck a deal to get a small stake in the company at its inception in 2008 in exchange for promoting its high-end headphones.
For wearing headphones, he would get $11 million more than he makes per year for doing what he does best, playing basketball.
Trisity Miller of Fansided wrote that James’s potential payout appears to defy the stereotype of the young, wealthy sports star who blows his money on bling.
Awesome!! While this is the most in profit for this type of deal with an athlete, it’s not unusual. Tom Brady opted for equity in Under Armour,instead of cash for appearing in ads, and New York Mets third baseman David Wright’s 0.5% stake in Vitamin Water earned him $20 million when it was bought.
This may change the way we look at athletes and how they manage their money. I wish more of them would take advantage of these types of opportunities.
What do you think?
Your Jersey Girlfriend,