Coty Inc. (NYSE: COTY), and Kim Kardashian West have entered into a strategic transaction to further develop Kardashian West’s business globally.
Under the terms of the agreement, expected to close in the third quarter of FY21, Coty will acquire a 20% ownership interest in Kardashian West’s beauty business for $200M.
Coty will have overall responsibility for the portfolio’s development in skincare, haircare, personal care and nail products. All the business’s products will be sold through leading luxury beauty retailers as well as owned digital channels.
Together, Coty and Kardashian West will focus on entering new beauty categories and global expansion beyond her existing product lines. Kardashian West and her team will lead all creative efforts in terms of product and communications initiatives, building on her global reach capabilities through social media. Kardashian West is one of the world’s most recognized personalities with 300 million followers across her personal and brand social media channels, as well as being an influential voice among beauty consumers globally.
In January, Coty acquired a 51% stake in Kardashian West’s half-sister Kylie Jenner’s brands. Coty is one of the world’s largest beauty companies with an iconic portfolio of brands across fragrance, color cosmetics, hair color and styling, and skin and body care. Its products are sold in over 150 countries around the world.