Coty has completed its purchase of a 20% stake in Kim Kardashian West's global beauty business for $200 million. The business will launch a skin care range in fiscal 2022.
Coty and Kardashian West will enter other beauty categories, including hair care, personal care and nail products, and expand globally. Kardashian West and her existing team will lead the creative focus for products and communications, while Coty will oversee portfolio and market development.
The partnership will expand the direct-to-consumer brand across luxury retailers and owned digital channels.
Sue Y. Nabi, CEO of Coty, said: “Kim shares our true passion for beauty products, and this acquisition allows us to leverage our respective strengths for mutual benefit and value creation. Coty brings unique IP in skin care, the scientific knowledge of the skin as reflected in our formulation know-how, while Kim brings a huge global following and unparalleled influence over consumer choice. She has a unique ability to read the latest beauty and wellness trends, while we have the expertise on global product positioning, access to a vast global distribution network, and the resources to enter new beauty categories. I look forward to working closely with Kim and her team and I’m excited by everything we will achieve together.”
Kardashian West said: “I’m so proud of how the KKW brand has grown over the past four years, and I look forward to working with Coty for the next phase of innovation, advancement, and the ability to bring new launches to customers all around the world. This relationship will allow me to lead the development of the creative elements that I specialize in, while benefiting from the incredible resources of an established company like Coty.”