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Entertainment Coty picks up $200m stake in Kim Kardashian West's beauty brand KKW

16:25  29 june  2020
16:25  29 june  2020 Source:   cityam.com

Kim Kardashian West sells stake in beauty brand for $200M

  Kim Kardashian West sells stake in beauty brand for $200M NEW YORK (AP) — Kim Kardashian West is selling a stake in her beauty brand for $200 million, in a deal that values the TV reality star's three-year-old business at $1 billion. The buyer is Covergirl owner Coty Inc., which will get a 20% stake in KKW Beauty. Coty seems to be enamored with the Kardashians: Last year, it bought a 51% stake in the makeup line started by Kardashian West's younger sister, Kylie Jenner. “Kim is a true modern day global icon,” said Coty CEO Peter Harf, which is similar to what he said about Jenner in November.

a 20% stake in reality TV star Kim Kardashian West ' s makeup brand KKW for $ 200 million, the Earlier this month, Coty disclosed that it was in talks with West over a potential collaboration for who is known for chronicling her life with her sisters on TV's "Keeping Up with the Kardashians ", launched

(Reuters) - Coty Inc ( COTY .N) will buy a 20% stake in reality TV star Kim Kardashian West ’ s makeup brand KKW for $ 200 million, the cosmetics maker said on Monday, sending its shares up 17%. The deal values West ’ s cosmetics line at billion, slightly lower than the .2 billion valuation Coty put

Kim Kardashian posing for the camera © Provided by City AM

Coty is to buy a 20 per cent stake in Kim Kardashian West’s make-up brand KKW, valuing the reality TV star’s business at $1bn (£810m).

The deal, which will see cosmetics giant put $200m into the celebrity’s beauty line, sent Coty’s shares skyrocketing 17 per cent in pre-market US trading.

Read more: Kim Kardashian and Sheryl Sandberg aren’t the only models of female business success

It means that West’s beauty business is valued slightly lower than that of her sister, Kylie Jenner.

Coty bought a majority stake in Jenner’s namesake cosmetics business earlier this year, which valued it at $1.2bn.

Kim Kardashian West's beauty brand valued at $1bn in Coty deal

  Kim Kardashian West's beauty brand valued at $1bn in Coty deal Kim Kardashian West has agreed to sell a 20% stake in her make-up business KKW Beauty for $200m. © Getty Kim Kardashian West was described as a 'true modern day global icon' The sale to Max Factor and Rimmel maker Coty values the reality TV star's company at $1bn.It comes after Coty bought a 51% stake in her half-sister Kylie Jenner's cosmetics business in January - a transaction which valued that business at $1.2bn.Kardashian West, star of the long-running TV show Keeping Up with the Kardashians, founded KKW Beauty in 2017 to sell products such as lip gloss, body foundation and perfume.

Kim Kardashian West ’ s company sells its make- up products mostly through its own website © Reuters. Coty does have the option to later acquire a majority stake in KKW , said one of the people familiar with the deal terms. No details on KKW ’s sales or profits were disclosed.

(Reuters) - Coty Inc will buy a 20% stake in reality TV star Kim Kardashian West ' s makeup brand KKW for $ 200 million, the cosmetics maker said on Coty , which has billions of dollars in debt and is grappling with slowing sales, last month offloaded majority stake in its hair and nail care business to

West, who is best known for starring in reality TV juggernaut Keeping Up With The Kardashians, alongside her sisters, launched KKW in 2017 – two years after Jenner launched a beauty brand.

The acquisition of major stakes in West and Jenner’s brands is a step towards modernising Coty’s portfolio, which also includes brands such as Cover Girl and Max Factor.

The company is billions of dollars in debt amid slowing sales, and has lost about 62 per cent of its market value this year alone.

Read more: Cosmetics giant Coty takes $600m stake in Kylie Jenner’s beauty business

Between them, the two sisters have 359m followers on Instagram, something Coty will hope to harness as it embraces direct-to-consumer online sales via social media.

Coty said the deal will likely close in the second half of next year.

The post Coty picks up $200m stake in Kim Kardashian West's beauty brand KKW appeared first on CityAM.

Not a billionaire, but Kylie Jenner is highest-paid celebrity, Forbes says .
Not a billionaire, but Kylie Jenner is highest-paid celebrity, Forbes saysForbes estimated that Jenner earned $590 million in the last 12 months, mostly from the sale of a 51% stake in her Kylie Cosmetics line to Coty in 2019.

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