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Kylie Jenner is selling the majority of her $1.2 billion cosmetics and skincare company to a giant makeup conglomerate and it certainly didn’t go for cheap. All I’ve gotta say is CHA-CHING!
What’s up? It’s Emile Ennis Jr. here with Clevver News and I was actually pretty surprised when I heard the news that Kylie Jenner was selling the majority of her cosmetics empire.
I mean, it is what made her a billionaire after all.
Over the past 12 months alone, Kylie Cosmetics had an estimated $177 million in net revenues. So clearly, the company is doing really well.
But maybe her priorities have shifted now that she’s a full time business woman and a full time mom. Or maybe she just saw a really good business opportunity and ran with it.
We all know that Kylie is the world’s youngest self-made billionaire, but this deal actually might make her worth way more in the long run.
TMZ reported that Kylie just sold 51 percent of Kylie Cosmetics to Coty, which is the giant company behind brands like Clairol, CoverGirl, and Max Factor to name a few.
Hey, I mean, right off the bat I’m thinking that we could get some pretty cool collabs.
Kylie reportedly got $600 million for the sale, which gives Coty the reins financially because like I said before, they technically own 51% of the company now.
But Kylie isn’t planning on leaving the business altogether. In fact, she isn’t going anywhere.
In a joint statement, Coty said that Kylie would continue leading all creative efforts and “communications initiatives.”
So basically that means, she is still going to promote Kylie Cosmetics across her massive social media empire of 270 million followers.
Sounds like a pretty good deal for Coty too.
It looks like Coty is just planning to take what Kylie started and expand it into a more global brand.
So if Kylie Cosmetics isn’t already a household name to you, it’s definitely going to be in the future.
Kylie says she’s quote “excited to partner with Coty to continue to reach even more fans of Kylie Cosmetics and Kylie Skin around the world.”
She went on and said quote, “This partnership will allow me and my team to stay focused on the creation and development of each product while building the brand into an international beauty powerhouse.”
And Coty execs seem excited about the deal as well.
Coty’s Chief Creative Officer said quote, “We are pleased to welcome Kylie into our organization and family. Combining Kylie’s creative vision and unparalleled consumer interest with Coty’s expertise and leadership in prestige beauty products is an exciting next step in our transformation and will leverage our core strengths around fragrances, cosmetics and skincare, allowing Kylie’s brands to reach their full potential.”
I mean, it definitely sounds like they know what they’re doing when it comes to cosmetics to skincare.
And Coty didn’t just acquire Kylie Cosmetics in the deal, they also purchased Kylie Skin, which is on track to bring in $25 million in sales this year.
Coty’s CCO said quote, “The skincare is pretty early days but there is more than 50 percent repeat purchase among skincare customers. We’ve not seen any sign that this will not be a sustainable beauty brand. The fact that she has been able to move from cosmetics to skincare and get such success is already proof that there is something.”
And that’s definitely true. There is most DEFINITELY something there with Kylie Cosmetics and Kylie Skin.
Something like a $1.2 billion company.
Anyway, I want to know what you guys think about all of this.
What do you think of Kylie selling 51% of Kylie Cosmetics? Do you think it was a smart business move or do you think this is the beginning of the end for her makeup empire?
Let me know down in the comments below.
After that, why don’t you dive in to more Clevver News by hitting that subscribe button and click that bell so you don’t miss any of our new stories. Then click right over here for more entertainment news. Thanks for hanging out with me here on Clevver News, I’m Emile Ennis Jr. and have a great day.
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