Kim Kardashian-West is on her way to becoming a billionaire, a few weeks after her husband Kanye West made Forbes list of billionaires. This is so, as her KKW Cosmetics line is now said to be worth, $1 billion.
According to the report by CNN, Coty (COTY) after buying Kylie Jenner’s beauty business last January, announced on Monday that it would acquire a 20% stake in KKW, Kim Kardashian West’s cosmetics line, for $200 million. The deal values KKW cosmetic line at $1 billion, slightly less than the $1.2 billion valuations of Jenner’s company, Kylie Cosmetics.
Under the agreement, according to the CNN report, Kim Kardashian West would retain creative control of the company, while leveraging her more-than 300 million social media followers for “products and communications initiatives.”
“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,” Kardashian West said.
The deal, which is expected to close in the third quarter of 2021, is the latest development in a newsy month for Coty. Earlier in June, the company fired CEO Pierre Laubies and replaced him with chairman Peter Harf — its fourth chief executive in four years.
It also announced a series of layoffs in 2019 and a $3 billion writedown for brands it acquired from Procter & Gamble (PG) in 2015.