Baller Alert Entertainment & Lifestyle
Coty Inc has agreed to buy 20% stake in Kim Kardashian West’s KKW makeup brand for $200 million, the Financial Times reported on Monday.
The deal values the cosmetic company at $1 billion, slightly less than the $1.2 billion valuation younger sister Kylie Jenner received when Coty bought a majority stake in her makeup and skincare company last year for $600 million.
The reality star launched her makeup company in 2017, two years after Jenner launched her popular makeup line.
Coty, which includes makeup mainstays CoverGirl and Max Factor, is looking to turn around lagging sales amid heavy debt and a recession caused by the coronavirus pandemic by bringing in the marketing powerhouse of the Kardashian/Jenner name. Coty’s shares dropped almost two-thirds since the start of the year but saw an increase of 9.8 cents after the deal, bringing the shares to $4.59 on Monday morning.
The deal now brings Kardashian’s net worth to a whopping $900 million, according to Forbes.
