Beauty brand of Kim Kardashian West valued $1 billion in a deal with Coty Inc. Image Courtesy – Showbiz Cheat Sheet
Kim Kardashian West is selling a part of her beauty brand in $1 Billion. The Television Reality Star has been running this beauty brand for 3 years. Coty Inc is purchasing the brand, it will get a 20% stake in KKW Beauty brand.
Koty purchased a 51% stake in a makeup line initiated by Kylie Jenner, the younger sister of Kim Kardashian. Koty has most of the stakes of the makeup and skincare line of Kylie Jenner that it purchased for $600 million in the last year. Peter Harf, the CEO of Coty told that Kim was a true global icon of the present day. Harf used the same language when he purchased the stake of Kylie Jenner.
Kardashian West who acts in reality TV show founded her KKW Beauty brand in 2017 and utilized her hundreds of millions of followers in the social media to promote her products like body foundation, lip gloss, perfume etc. The 39-year-old celebrity of the US will promote Kim Kardashian West Beauty brand online with adding more new products into it.
Coty, the American multinational beauty company plans to expand its horizon into different countries of the world. It will diversify its categories into skincare creams, shampoos etc. Coty also plans to utilize the younger generation who spend a lot of time daily on social media, to boost the sale of its products.
Products like ‘Max Factor makeup’ and ‘Sally Hansen nail polish’ are unable to compete with the reach of Kim Kardashian West Beauty brand. For example, while Max Factor has 585,000 Instagram follows, Kim Kardashian West Beauty brand has 4.4 million.
The New York-based multinational beauty company, whose shares rose more than 13% to close at $4.74, did not release any sales information for Kim Kardashian West Beauty.