Kim Kardashian West sells stake in her beauty brand
The agreement with Coty values the three-yearold company at $1 billion and Kardashian will still promote KKW Beauty online
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 per cent stake in KKW Beauty. Coty seems to be enamoured with the Kardashians: Last year, it bought a 51 per cent 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.
Kardashian West, who stars on the long-running reality TV show “Keeping Up with the Kardashians,” founded KKW Beauty in 2017 and tapped into her hundreds of millions of social media followers to sell lip gloss, body foundation and perfume.
The 39-year-old will still promote KKW Beauty online and will help create new products.
Coty plans to expand the brand into more countries around the world and possibly into other categories, like skin creams and shampoos. It also hopes that the buzzy brand can help boost sales and connect with younger shoppers who spend a lot of time on social media.
Coty’s brands, including Max Factor makeup and Sally Hansen nail polish, can’t compete with KKW Beauty’s reach. Max Factor, for example, has 585,000 Instagram followers. KKW Beauty has 4.4 million.
Coty, which expects the deal to close next year, didn’t reveal any sales data for KKW Beauty. Shares of New York-based Coty rose more than 13 per cent to close at $4.74.
It’s been a busy summer for Kardashian West’s family. On Friday, her husband Kanye West announced a deal to design fashions for the Gap brand under his Yeezy brand.
“Kim Kardashian West has inked a deal to sell 20 per cent of her make-up brand KKW Beauty to American cosmetics giant Coty for $200 million,” the pair announced.
It will see Coty take “overall responsibility” for the brand’s skincare, haircare, personal care and nail products, they said in a statement.
“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, and launching my products around the world,” Kardashian said. The purchase is expected to be completed in the third quarter of the fiscal year 2021 and sees Coty deepen its collaboration with the celebrity Kardashian-jenner family.
In January, Coty, acquired a 51 per cent stake in Kylie Jenner’s cosmetics brand. Jenner is Kardashian’s half-sister. The pair has built a beauty empire on the back of the success of the hit reality TV show “Keeping Up with the Kardashians,” which first aired in 2007.
Kardashian has 177 million followers on Instagram while Jenner has 183 million.
Last week, rapper Kanye West, Kardashian’s husband, announced a deal between his Yeezy fashion brand and Gap which saw the later’s shares surge.
Picture used for illustrative purpose world of football as leagues across the globe were forced to a halt. The biggest clubs in the world have suffered because of the lockdown, both on the technical and financial side.
“They have lost sponsors and have been forced to lay off staff or furlough them. This reduction of staff will obviously have a bearing on the technical side Now, as leagues resume cautiously, most of them have had to play behind closed doors without fans, or a very limited number of fans, which obviously hurts the clubs financially in terms of gate-money.
“But more importantly, playing in front of empty stands might not be such an exciting prospect for the players, even though they are professionals. For many of these players, the lockdown has been a mental challenge as well and physically, they have not been able to train as much as they would normally do.
“So there have been a whole lot of challenges that the world of football has faced over the past few months, and we have brought in our partners from one of the biggest football league in the world, the Spanish Laliga, to share their experience of this testing phase, to speak about the challenges they have faced and the