Reebok’s $2.4 Billion Price Tag Brings Hip-Hop & Sports “TOGETHER”
- Master P and Baron Davis are in talks to buy Reebok, Forbes, Daily Mail, and ESPN reported
- Rapper and former NBA All-Star are discussing a deal worth reported $2.4billion
- Reebok has struggled to find market share against rivals Nike, New Balance
- Adidas bought Reebok in 2005 for $3.8billion; Company now open to selling
- Master P said it would be ‘history’ if Reebok were to be ‘black-owned’
The rapper Master P and former NBA All-Star Baron Davis have jointly entered into negotiations with parent company Adidas to acquire the once-mighty shoe brand Reebok, which is reportedly on sale for some $2.4billion.
Master P is the stage name of Percy Robert Miller, a 53-year-old rapper, actor, record producer, and entrepreneur whose net worth is said to be valued at $200million.
Davis, 41, is a retired former professional basketball player who played 15 seasons for various teams, including Charlotte, New Orleans, Golden State, the Los Angeles Clippers, Cleveland, and New York.
He currently works as a studio analyst for Turner Network Television’s coverage of the NBA.
WHO IS MASTER P
Percy Robert Miller (born April 29, 1967), also known by his stage name Master P, is an American rapper, actor, record producer, entrepreneur, and former basketball player. He is the founder of the record label No Limit Records, which was relaunched as New No Limit Records through Universal Records and Koch Records, then again as Guttar Music Entertainment, and currently, No Limit Forever Records. He is the founder and CEO of P. Miller Enterprises and Better Black Television, which was a short-lived online television network.
Miller initially gained fame in the mid-1990s with the success of his hip hop music group TRU as well as his fifth solo rap album Ice Cream Man, which contained his first single “Mr. Ice Cream Man“. Miller gained further popularity in 1997 after the success of his platinum single “Make ‘Em Say Uhh!“. In total, Miller has released 15 studio albums.
Aside from music, Miller has embarked on a career in acting, starring in films, including I Got the Hook Up, Soccer Mom, Gone in 60 Seconds, Toxic, and Foolish. Miller has worked in television, starring in the sitcom Romeo! alongside his son Romeo Miller from 2003 to 2006.
Miller was signed to two separate NBA contracts in the late 1990s, playing for both the Charlotte Hornets and Toronto Raptors during the 1998 and 1999 pre-season respectively. Miller owns his own basketball league, Global Mixed Gender Basketball (GMGB).
In 1998, Miller ranked 10th on Forbes magazine’s list of America’s 40 highest paid entertainers, with an estimated income of $56.5 million. In 2009, he earned more than $661 million, making him the highest paid hip hop entertainer in the world at the time. In 2013, Miller’s wealth is estimated to be $200 million, making him one of the wealthiest figures in the American hip hop scene.
Percy “Master P”Miller has dedicated his time to communities through P. Miller Youth Centers and his P. Miller Food Foundation for the Homeless. On July 12, 2005, Willie W. Herenton Jr, the mayor of Memphis, Tennessee, presented Miller with the key to the city. On April 27, 2010, Miller and his son Romeo were awarded the Certificate of Special Recognition from Congress member Maxine Waters.
Miller and his children are Catholic. He himself attended Catholic school as a child, and in 1999 donated half a million dollars to save his New Orleans alma mater along with two other schools
In September 2019, Master P opened “Big Poppas Burgers” on the West Bank of New Orleans.
On June 19, 2020, Master P announced his own rice brand, Uncle P’s Louisiana seasoned rice, which he hopes major retailers will begin selling. He said it’s a way to “put money back into our community.”
WHO IS BARON DAVIS
Baron Walter Louis Davis (born April 13, 1979) is an American former professional basketball player who is a studio analyst for the NBA on TNT. He is a 2-time NBA All-Star, made the All-NBA Third Team in 2004, and led the NBA in steals twice. He was drafted with the third overall pick in the 1999 NBA draft by the Charlotte Hornets. He also played in the NBA for the New Orleans Hornets, Golden State Warriors, Los Angeles Clippers, Cleveland Cavaliers and New York Knicks. Davis played college basketball for UCLA, where he was an All-American honoree before turning professional after his sophomore year. He was a star high school player while at Crossroads School.
Since 2017, Davis is also a regular panelist during NBA on TNT’s Monday coverage called Players Only, which features only former NBA players as studio analysts, play-by-play announcers, and color analysts for games.
Film and television
In addition to his NBA career, Davis has had an increasing role in the film industry, with the intention of making it a full-time career when his playing days are over. He is a member of the Screen Actors Guild, having earned membership by appearing in movies such as The Cookout and guest-starring on the ABC Family show Lincoln Heights and ABC’s The Forgotten. He has made appearances both as himself and fictional characters in movies and on television, and has also been involved in producing a number of films, ranging from The Pool Boys to Crips and Bloods: Made in America. Davis and high school friend, Cash Warren, formed a production company called Verso Entertainment in 2005.
Davis appeared on the DVD commentary track of the 2008 film Step Brothers alongside Will Ferrell and John C. Reilly, and appears as himself during season three of Hot In Cleveland. He appeared in the 2012 film That’s My Boy as a gym teacher, and in 2015, he appeared in Yahoo! Screen‘s Sin City Saints, playing the role of Billy Crane. He also played himself in the 2015 film The Night Before, and portrayed a doctor in Joe Dirt 2.
On November 12, 2015, Davis co-starred alongside Kyrie Irving, Ray Allen and J. B. Smoove as Louis in the fourth episode of “Uncle Drew”, a series of Pepsi Max advertisements written and directed by Irving.
In Mozart in the Jungle‘s last three episodes of the third season, Davis made a special guest appearance as Kevin Majors, an injured NBA player.
He stars in the scripted television sitcom WTF, Baron Davis on the Fuse channel, premiering January 20, 2019.
Baron Davis the basketball player should not be confused with Baron Davis the voice actor, who did additional voices in Tarzan II and The Jungle Book 2. However, Davis the basketball player did some voiceover work for the series TripTank, as Stedmund the horse.
In 2012, Davis formed the
In 2016, Davis created the Black Santa Company which sells shirts, beanies, onesies, as well as Christmas ornaments among other products.
November 2019, Davis joined an advisory board for Tinley Beverage Company Inc.
Awards and honors
- 2× NBA All-Star (2002, 2004)
- All-NBA Third Team (2004)
- 2× NBA steals leader (2004, 2007)
- NBA Skills Challenge champion (2004)
- AP Third-team All-American (1999)
- First-team All-Pac-10 (1999)
- Pac-10 Freshman of the Year (1998)
- Pac-10 All-Freshman Team (1998)
- Great Alaska Shootout All-Tournament Team
- UCLA Athletics Hall of Fame (2016)
- High school
Reebok, the once-popular shoe brand, has had difficult competing with the likes of Nike and New Balance. The image above shows the Reebok logo at a store in New York City
‘These companies have been benefiting off us, this could be history for this company going black-owned,’ Master P told ESPN reporter Eric Woodyard
In his post-playing days, Davis has branched out to acting in films and television shows. He has also started up his own business selling clothing.
Their interest in buying Reebok was reported by Forbes and ESPN.
‘These companies have been benefiting off us, this could be history for this company going black-owned,’ Master P told ESPN reporter Eric Woodyard.
The mogul said that he and Davis are ‘prepared financially’ after two months of talks with Adidas.
‘Imagine if Michael Jordan owned Reebok? That’s what I’m talking about making history,’ he said.
‘As we focus on turning Reebok into a lifestyle brand not just a basketball brand, our most important initiative will be to put money back into the community that built this company.’
‘I think Reebok is being undervalued,’ Davis told Forbes.
‘I left Nike as a 22 year old kid representing myself and made the jump to Reebok, which took a chance on me as a creative and as an athlete.
‘I want the people I know athletes, influencers, designers, celebs to sit at the table with me.’
Adidas, the German sportswear maker, said earlier this month that it was considering a potential sale of Reebok 15 years after it bought the Boston-based company for $3.8billion. The Adidas store is seen above in the SoHo section of New York City on December 14
Adidas, the German sportswear maker, said earlier this month that it was considering a potential sale of Reebok 15 years after it bought the US-focused brand to take on archrival Nike on its home turf.
The decision will be announced on March 10, when the company officially presents its new strategy, Adidas said.
The company bought Boston-based Reebok for $3.8billion in 2005, but a lack of progress in turning it around led to repeated calls from investors to dispose of the brand.
It might be an attractive target for a private equity firm or another smaller sports retailer that will use it, like Adidas did, to break into the US marketplace, said Michael Faherty, a portfolio manager at Adidas and Nike investor Seilern Investment Management.
Adidas said the strategic alternatives it is considering include both a potential sale of Reebok as well as the brand remaining a part of the company.
‘There is still a material chance that nothing will come out of it,’ Colin Wong, a portfolio manager at Nike shareholder Mawer Investment Management, said.
Wong said some potential options for Adidas include spinning Reebok off as a stand-alone public company, or selling the brand to private equity, another major sports retailer or a multibrand player like VF Corp.
Reebok’s net sales fell 7 per cent in the third quarter of 2020 to $489.40million, after falling as much as 44 per cent in the preceding quarter.
In 2019, Adidas wrote down Reebok’s book value by nearly half, compared with 2018, to $1.03billion.
Recent collaborations with celebrities like Cardi B and a refreshed focus on women’s apparel have put the brand in a better place, said Jessica Ramirez, retail analyst at Jane Hali & Associates.
‘Reebok won’t be much of a burden for whoever takes it on if there is a sale,’ Ramirez added.
Adidas said earlier in November that it was expecting a drop in overall sales for the last three months of the year as the reimposition of lockdowns in Europe would likely offset a return to growth in China and strong demand for running gear and products designed by singer Beyonce.
Master P’s history with sneakers doesn’t inspire confidence, but happy for him nonetheless pic.twitter.com/hQZrqj6Wig
— Al (@CharizardLaw) December 28, 2020
Tell you what I went 7-11 the other day check this out out . Buddy out here pic.twitter.com/TgWArisOl6
— KEEGOLD (@keegold305) December 28, 2020
Others were very supportive of the effort:
I hope they get it. The fact they’re even in a position to acquire a company like Reebok is a win.
— ⇓ (@_Faidaway) December 28, 2020
I promise to never buy another brand of shoes if this happens!!
— EarlthaPearl (@earlthe16196470) December 28, 2020
Davis played 12 seasons in the NBA and was a two-time All-Star. Miller, who is a record label founder and an actor in addition to his rap career, actually made the NBA as well, believe it or not. He got preseason contracts from the Charlotte Hornets in 1998 and then the Toronto Raptors in 1999.
The Jordan name-drop is pretty funny when you consider how much His Airness dislikes the Reebok brand. But in any case, Davis and Miller could be pulling off a real power move here with this potential acquisition.