Kylie Jenner seals $600m deal with Coty to develop ‘global powerhouse’
Kylie Jenner has agreed to sell a 51% stake in her lucrative beauty business to Coty for $600 million as part of a long-term strategic partnership to further develop the firm into a global powerhouse brand.
Jenner’s makeup brand Kylie Cosmetics is one of the fastest-growing and most-engaged beauty brands on social media. The youngest member of the Kardashian clan expanded her empire this year with the launch of Kylie Skin, a skincare line.
Under the terms of the deal, Kylie Jenner will continue to lead all creative efforts in terms of product and communications initiatives and work together with Coty to set and lead the strategic direction of her brands, focusing on global expansion and entry into new beauty categories.
Meanwhile, Coty will leverage its capabilities in R&D, manufacturing, distribution, commercial and go-to-market expertise to drive growth at the beauty business. It will also act as a licensee for skincare, fragrances, and nail products.
Jenner, who is widely regarded as the world’s youngest self-made billionaire, said the partnership will allow her beauty brands to reach even more fans around the world.
“I look forward to continuing the creativity and ingenuity for each collection that consumers have come to expect and engaging with my fans across social media. This partnership will allow me and my team to stay focused on the creation and development of each product while building the brand into an international beauty powerhouse,” Jenner commented.
Pierre Laubies, Coty CEO, added: “Combining Kylie’s creative vision and unparalleled consumer interest with Coty’s expertise and leadership in prestige beauty products is an exciting next step in our transformation and will leverage our core strengths around fragrances, cosmetics and skincare, allowing Kylie’s brands to reach their full potential.”
The acquisition is expected to close in the third quarter of fiscal year 2020.
Copyright © 2021 FashionNetwork.com All rights reserved.