Khaby Lame Sells Controlling Stake in $975m Deal, Redefining the Global Creator Economy

Khaby Lame, the world’s most recognisable TikTok star, has sold a controlling stake in the company that manages his commercial interests, in what is one of the largest and most significant transactions involving a digital creator to date.

The deal, executed through Step Distinctive Limited, hands control of Khaby Lame’s business to Rich Sparkle Holdings in an all-stock acquisition valued at an estimated $900 million to $975 million. Far from a routine exit, the transaction highlights a fundamental shift in how creator influence is owned, structured and scaled globally.

Khaby Lame rose to international fame during the COVID-19 pandemic after losing his factory job in Italy and turning to social media. His trademark silent reaction videos, which parody overly complex “life hacks” using simple gestures, resonated across cultures and languages, helping him amass more than 360 million followers worldwide.

Until now, that reach had largely been monetised through traditional brand endorsements and campaign-based partnerships. The acquisition of Step Distinctive marks a decisive move away from that model.

Prior to the transaction, Lame personally owned around 49 per cent of Step Distinctive. Under the new structure, Rich Sparkle gained control by issuing 75 million new shares to Lame and related entities. While operational control has shifted, Lame remains a major shareholder, keeping his financial interests closely aligned with the long-term performance of the business.

Although the headline valuation has captured attention, analysts say the strategic implications are more important. Rich Sparkle now holds exclusive commercial rights to Khaby Lame’s brand and business operations for an initial three-year term, with extensions linked to future performance.

Those rights cover the full spectrum of monetisation, including e-commerce, merchandise, brand partnerships, advertising, livestream shopping and technology-led content initiatives. Rather than positioning Khaby Lame as a freelance influencer, the company is consolidating his global earning power within a single, platform-style commercial structure.

Industry observers view the deal as part of a wider evolution in the creator economy, where top creators are moving away from short-term monetisation towards equity-backed business models. When creators operate purely as external partners, revenue is often unpredictable and campaign-driven. By contrast, equity ownership aligns incentives around brand longevity, operational discipline and sustainable value creation.

Market sentiment appears to support that view. Reports suggest Rich Sparkle’s share price rose in pre-market trading following news of the acquisition, reflecting investor confidence in the scale and defensibility of the model.

Central to Rich Sparkle’s strategy is Khaby Lame’s rare ability to command attention across borders. His wordless content translates effortlessly between regions, giving the company a powerful platform to scale commerce simultaneously in markets such as the United States, Southeast Asia and the Middle East.

A key growth area is livestream commerce, which combines entertainment with real-time shopping. Already worth billions in parts of Asia, the format is expanding globally, and control of a creator with Lame’s reach provides a significant competitive advantage. The company is also investing in technology to increase content output and standardise execution, reducing dependence on one-off appearances and enabling more repeatable, scalable operations.

While short-term success will be judged by revenue and conversion, the longer-term goal is brand building. Rich Sparkle now controls the commercial engine behind Khaby Lame’s name, spanning merchandise, online retail, advertising collaborations and future co-branded products.

The transaction signals a broader shift in the creator economy, where influence is increasingly treated not just as media, but as infrastructure. As leading creators evolve into equity-backed platforms with centralised operations, the distinction between influencer, entrepreneur and global brand continues to blur. In this next phase, attention remains vital, but ownership has become the defining factor.