Money

Michael Jordan becomes richest basketball player in history, worth $3.5bn

Published

3 months ago

August 25, 2023

ticker NEWS

Michael Jordan, widely regarded as the greatest basketball player of all time, has officially become the wealthiest NBA star in history.

The Chicago Bulls legend, who secured six NBA championships during his illustrious 15-year career and later acquired the Charlotte franchise upon his retirement, boasts an astonishing net worth of $3.5 billion, according to a recent assessment by Bloomberg.

Jordan’s financial empire received a significant boost this month when he sold the majority stake in the Charlotte Hornets for a staggering $3 billion. The buyers were none other than hedge fund tycoon Gabriel Plotkin and private equity mogul Rick Schnall, as reported by ESPN.

First black owner

In 2010, Jordan made history by becoming the NBA’s first black owner when he purchased the Charlotte franchise for $275 million, known then as the Bobcats. Bloomberg estimates that, with the recent sale, the 60-year-old basketball icon-turned-businessman retained less than a 5% interest in the team, ceding a 65% stake.

Apart from the Hornets sale, Jordan’s fortune is substantially bolstered by his long-standing partnership with Nike through the iconic Jordan Brand. This partnership, which originated in his rookie year in 1984, generated a remarkable $5.1 billion in revenue for Nike last year, constituting a remarkable 11% of the company’s total sales. Under the Jordan Brand deal, Jordan earns an annual income of $500,000 in addition to a 5% royalty on the brand’s earnings.

Nike contract

The intricacies of Jordan’s contract with Nike have remained confidential since its inception nearly four decades ago. However, public information indicates that Jordan received a staggering $255.5 million from Nike in 2022 alone.

In addition to Nike, Jordan has enjoyed endorsement deals with several other major brands, including Hanes, Gatorade, Chevrolet, McDonald’s, Ball Park Franks, Wheaties, Rayovac, and Upper Deck. His endorsement deal with Gatorade in 1991, in particular, resulted in the memorable “Be Like Mike” TV commercial and an estimated annual income of $1.4 million.

Notably, Jordan graced the cover of Wheaties a record-breaking 19 times, a feat unsurpassed by any other athlete. Some of these endorsement deals have spanned over three decades, constituting some of the longest-running brand-athlete partnerships in history.

Collectively, these deals propelled Jordan into the billionaire club in 2014 when he was 51 years old, marking a historic moment as the first NBA player to reach this financial milestone.

Lavish lifestyle

Outside of his business ventures, Jordan maintains a lavish lifestyle, residing in a sprawling multimillion-dollar mansion in Jupiter, Florida. The property features his iconic No. 23 on the front gate and boasts a regulation-size basketball court emblazoned with his “Jumpman” Nike logo.

Jordan’s influence extends to the world of motorsports, as he owns and operates Nascar’s 23XI Racing, established in 2020 and featuring star driver Bubba Wallace, the sport’s sole black driver. Additionally, he holds an undisclosed equity stake in DraftKings, exchanged for providing strategic guidance, as announced by the sports betting company in September of the same year.

During his illustrious 15-season NBA career, Jordan secured six NBA championships, five MVP awards, and an impressive ten NBA scoring titles, largely with the Chicago Bulls.

Money

McDonald’s plans massive expansion with 9,000 new burger joints by 2027

Published

26 mins ago

December 7, 2023

ticker NEWS

Fast-food giant McDonald’s has unveiled an ambitious plan to open nearly 9,000 new burger joints across the globe by 2027.

The move comes as part of the company’s aggressive growth strategy to maintain its dominance in the competitive fast-food industry.

McDonald’s, known for its iconic golden arches, currently operates over 38,000 restaurants in more than 100 countries.

With this expansion, the company aims to tap into emerging markets while also strengthening its presence in existing ones. The plan includes opening new outlets in urban centres, shopping malls, and even smaller towns, catering to a diverse range of customers.

The expansion drive is expected to create thousands of jobs, from front-line crew members to management positions, offering economic opportunities in various communities.

Furthermore, McDonald’s will continue to focus on sustainability, with commitments to reduce its environmental footprint through eco-friendly practices and packaging.

As the fast-food giant prepares to embark on this ambitious journey, the focus keyword for Google SEO is “McDonald’s expansion.”

Money

Citigroup’s enormous billion dollar restructuring cost revealed

Published

27 mins ago

December 7, 2023

ticker NEWS

Citigroup, one of the world’s largest financial institutions, is undergoing a significant restructuring effort that comes with a hefty price tag of $1 billion.

However, this massive overhaul is now anticipated to extend beyond the current quarter and will likely stretch into the next.

The restructuring plan, which was initially expected to conclude this quarter, involves a comprehensive review of Citigroup’s operations, aiming to streamline its business processes and enhance efficiency. The bank has been facing mounting pressure to adapt to changing market conditions and technological advancements.

The delay in completing the restructuring has raised concerns among investors, as the prolonged uncertainty can impact the bank’s financial performance. Citigroup’s leadership remains committed to the plan, emphasising the importance of getting it right rather than rushing through the process.

Despite the cost and delay, Citigroup remains optimistic about the long-term benefits of the restructuring, which include improved profitability and competitiveness in the financial sector.

Money

British American Tobacco issues warning on future of U.S. brands

Published

29 mins ago

December 7, 2023

ticker NEWS

British American Tobacco (BAT) has raised concerns about the long-term viability of its US-based cigarette brands, marking a significant shift in its outlook on the American market.

The company is now planning a massive $31.5 billion writedown, reflecting its dim view of the future prospects for these brands.

BAT, one of the world’s leading tobacco companies, has traditionally maintained a strong presence in the US market through brands like Newport and Camel. However, changing consumer preferences, stricter regulations, and the rise of alternative tobacco products like e-cigarettes have put pressure on the traditional cigarette industry.

The company’s decision to write down the value of its US brands highlights the challenges it faces in a market that is evolving rapidly. BAT is expected to focus more on the development and marketing of reduced-risk products and alternative nicotine delivery systems.

This strategic shift may have significant implications for BAT’s future operations and the broader tobacco industry. It remains to be seen how the company will navigate this changing landscape and whether it can adapt to the shifting preferences of consumers.