Coca-Cola acquired Glacéau, Vitaminwater’s parent company, for $4.1 billion in 2007. 50 Cent had received an equity stake rather than only a traditional endorsement fee

American rapper and actor 50 Cent’s Vitaminwater deal was more than a conventional celebrity endorsement. The rapper became a stakeholder in Glacéau, the company behind Vitaminwater, through his association with the Formula 50 flavor. When Coca-Cola acquired Glacéau in 2007, Forbes reported that the deal resulted in a roughly $100 million gain for 50 Cent, whose real name is Curtis James Jackson III.

Coca-Cola bought Vitaminwater maker Glacéau for $4.1 billion

In May 2007, Coca-Cola revealed that it reached an agreement to buy Energy Brands, called Glacéau, and its lines of enhanced water, such as Vitaminwater, in a deal worth $4.1 billion in cash. The acquisition was finalized on June 7, 2007.

Coca-Cola’s filings later confirmed that the company acquired Glacéau for approximately $4.1 billion. The transaction initially involved a 71.4% interest, with Coca-Cola later acquiring the remaining 28.6% interest associated with Tata.

50 Cent received an equity stake in Glacéau

The Grammy-winning Crack a Bottle rapper’s connection to the company went beyond promoting Vitaminwater.

Forbes reported in 2008 that rapper had received a stake in Glacéau as compensation for promoting the Formula 50 Vitaminwater flavor. The publication also reported that he continued to add to his holdings over the years.

This makes the deal different from a straightforward celebrity endorsement arrangement: 50 Cent held an equity interest in the company behind the product he was promoting.

How Formula 50 became part of the deal

The Formula 50 flavor was central to 50 Cent’s relationship with Glacéau. Forbes described his stake as compensation connected to promoting the flavor, linking his business interest directly to his work with the Vitaminwater brand.

The arrangement meant that his financial interest was connected to Glacéau itself rather than simply to a one-time promotional appearance.

A $100 million gain for 50 Cent

After Coca-Cola acquired Glacéau, Forbes reported that 50 Cent’s stake generated a $100 million gain. A separate Forbes article described the figure as his biggest one-shot gain from the sale of his stake in Vitaminwater parent Glacéau to Coca-Cola.

The $100 million figure should be understood as a reported estimate rather than a figure disclosed by Coca-Cola in its acquisition announcement. Coca-Cola’s public filings confirm the $4.1 billion Glacéau acquisition, while Forbes provides the reported figure for 50 Cent’s gain.

What happened to Glacéau after the Coca-Cola deal

After the deal was closed, Glacéau continued its operations as a standalone subsidiary in Coca-Cola North America. According to Coca-Cola, the deal strengthened its position in the enhanced water category with the inclusion of Vitaminwater in its list of products.

For 50 Cent, the deal became one of the most widely cited examples of a celebrity partnership involving an equity stake. Forbes reported that his Glacéau investment produced about $100 million when Coca-Cola acquired the company in 2007.