Cosmetics and beauty company Coty has announced it has purchased a 20% stake in Kim Kardashian West’s KKW Beauty brand for $200m (£162 million).
Kardashian West began her beauty range three years ago and the stake has been purchased off a brand valuation of $1bn (£813m).
Earlier this year, Coty acquired a 51% stake in Kardashian West’s half-sister Kylie Jenner’s brand Kylie Cosmetics.
In a statement, the company revealed Coty will have “overall responsibility” for the portfolio’s development in skincare, haircare, personal care and nail products, whilst Kardashian West will still promote the business and help create more products.
Kardashian West said: “Partnering with an established organisation like Coty will be instrumental in the advancement of my brands as their global reach allows for faster expansion so people around the world are able to experience new launches first hand.
“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.”
Peter Harf, Coty chairman and CEO, added: “Kim is a true modern day global icon. She is a visionary, an entrepreneur, a mother, a philanthropist, and through social media has an unparalleled ability to connect with people around the world.
“This influence, combined with Coty’s leadership and deep expertise in prestige beauty will allow us to achieve the full potential of her brands.”
The acquisition is expected to close in the third quarter of FY21. All the business’s products will be sold through leading luxury beauty retailers as well as owned digital channels.