Magic Johnson crossed the line from millionaire to billionaire.
The former NBA star and business mogul (64) made most of his fortune through his majority ownership of the insurance company EquiTrust. Forbes reported.
Since Johnson took over a decade ago, the company’s assets have grown from $16 billion to $26 billion per branch.
Magic Johnson in October 2023.
Allen J. Schaben/Los Angeles Times via Getty
His investments in sports teams, such as the NFL’s Washington Commanders, the WNBA’s Los Angeles Sparks and the MLB’s Los Angeles Dodgers, also helped him reach billionaire status, CNN reported. He previously owned a stake in his former NBA team, the Los Angeles Lakers, from 1994 to 2010, according to the outlet.
He earned about $40 million playing 13 seasons with the Los Angeles Lakers — or about $110 million when inflation is adjusted for — before suddenly retiring in 1991 due to an HIV diagnosis, according to CNN.
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Magic Johnson playing for the Lakers in 1985.
Andy Hayt/NBAE via Getty
Earlier this year, Johnson revealed All the smoke podcast that he missed his chance to become a billionaire in 1979 when he turned down an offer from Nike to be paid in stock.
“My family didn’t come from money, that’s one thing that hurts us sometimes. When you don’t come from money, you don’t know. I didn’t even know what stocks were [were] at the time,” Johnson said on the podcast.
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He chose to sign a deal with Converse that paid him $100,000 a year up front, Johnson said on the podcast.
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The Nike deal would compensate Johnson with $1 for every pair of sneakers sold and provide him with 100,000 shares in the company, according to Business Insider.
“So I passed on the stock. Can you imagine? 45 years, $5 billion that stock would be worth today,” Johnson said on the podcast.
According to ForbesJohnson is the fourth athlete to join the billion-dollar club, which also includes Tiger Woods, Michael Jordan and LeBron James.
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Source: HIS Education