Khaby Lame, born Khabane Serigne Lame is a popular Senegalese-Italian influencer and his videos are famous for his hilarious silent reactions. Also the most followed TikToker in the world, the 25-year-old finalised a crucial business deal.
He sold a stake in Rich Sparkle Holdings that is responsible for his commercial endeavours and the all-stock acquisition was estimated somewhere between $900 million to $975 million.
The business deal took place via Step Distinctive Limited and puts Rich Sparkle Holdings in charge of Khaby Lame’s business. For creators around the world, this deal is being seen as pathbreaking in terms of operations and monetisation.
If you were scrolling reels during the COVID-19 pandemic, you definitely know Khaby Lame and his simple yet funny reaction videos where he said nothing. However, now he is a world famous content creator with more than 160M followers on TikTok as of now.
With his growing fame, business strategies changed as well. Khaby used to collaborate with brands for campaigns so far, holding a share of 49% at Step Distinctive. Following the new acquisition, the control now lies with Rich Sparkle. The company issued Khaby and other entities at stake, 75 million new shares in total.
With change in ownership, a new structure of business has entered the market of content creation. However, Khaby continues to own a significant percent still, retaining his stake.
Rich Sparkle will have the right to the influencer's business dealings for a three years, as of the initial deal. However, there is the scope for extension if the collaboration is successful.
The company has commercial rights of Khaby in relation to E-commerce and merchandise, brand partnerships and advertising, livestream shopping and technology-driven content initiatives.
This deal is a new pathway to monetisation and short-term ownership when it comes to content creation: a booming market with a lot of business potential.
For more updates, join/follow our WhatsApp, Telegram and YouTube channels.