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Coty Acquires 20% Stake of Kim Kardashian West, KKW’s Cosmetics Line

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Barely six months of purchasing Kylie Jenner’s beauty business in January 2020, Coty has announced on Monday that it would acquire a 20% stake in KKW, Kim Kardashian West’s cosmetics line, for $200 million. The deal values KKW at $1 billion, this is slightly less than the $1.2 billion valuation of Jenner’s beauty business company, Kylie Cosmetics.

The  agreement stipulates Kardashian West would retain creative control of the company while leveraging her more-than 300 million social media followers for “products and communications initiatives.”

“This relationship will allow me to focus on the creative elements that I’m so passionate about while benefiting from the incredible resources of Coty,” Kardashian West said.

The deal, which is expected to close in the third quarter of 2021, is the latest development in a newsy month for Coty. Earlier in June, the company fired CEO Pierre Laubies and replaced him with chairman Peter Harf — its fourth chief executive in four years. It also announced a series of layoffs in 2019 and a $3 billion writedown for brands it acquired from Procter & Gamble, PG in 2015.

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