Kylie Jenner Sells Majority Stake of Her Beauty Empire for $600 Million
On Monday November 18th, Kylie Jenner sold 51% majority stake of her make-up and skin care brands Kylie Cosmetics and Kylie Skin to multinational beauty company Coty.
The beauty mogul is no amateur when it comes to talking business, topping $360 million worth in Kylie Cosmetic sales in 2018 alone… soon after to be named “the youngest self-made billionaire” at age 22 by Forbes. Just four years following the inception of her beauty empire, Jenner cashed in $600 million from the deal with Coty, who also owns other well-established brands such as Rimmel and Covergirl.
“The acquisition [price] is higher than we’ve seen for other consumer related acquisitions,” Instinet analyst, Michael Baker told The New York Post. Beauty companies from Estee Lauder – of which Jenner’s older sister Kendall has been the face of since 2014 – to Loreal and Sephora have noted some serious slips in sales, contrary to Kylie Cosmetic’s notorious “sold out” announcements and 40% increase in sales this year. Morningstar analyst Rebecca Scheuneman describes that in part this is because “brands tied to a celebrity have a unique risk in that their popularity can ebb and flow with the popularity of the celebrity.” With 270 million Instagram followers, Jenner’s reach is almost unparalleled, side by side with fellow beauty entrepreneurs Kat von D, Rihanna and sister Kim Kardashian West.
“Battle of Beauty Divas” by Slice Intelligence
“Momager” Kris Jenner explained that Kylie’s business move is a proud family for the whole Kardashian-Jenner clan, and a “crystallisation of all out work.” The sale represents a key part of Kylie’s vision to keep growing her business into a global powerhouse and to tap into new markets.
With the holiday season just around the corner, be sure to turn on your post notifications for Kylie’s iconic sales and limited edition launches.
Featured image via.
