Tuesday 27, Oct 2020, Delhi (India)
Started in November 2015, Kylie Jenner's cosmetic line valued at $900 million is now bigger than what it was. The credit goes to Coty Inc, the company that acquired a 51% stake in Kylie's beauty pie for $600 million. This takeover has set a new high to the latter's value. Kylie's beauty empire is at a $1.2 billion evaluation. This deal that will come into force by the end of 2020 makes Coty Inc. a significant part of the functioning and expansion of Kylie cosmetics. It will be responsible for looking after Kylie Cosmetics' development in the market of beauty, its growth, and it's an advancement to other markets like skincare. This plan will hugely be focusing on doing international business.
Kylie confirmed this deal by putting out a tweet that set fires through the social media platform. Here's what she wrote to her 29 million followers, "I can't wait for all of the amazing things to come for Kylie Skin and Kylie Cosmetics. I'm excited to partner with Coty Inc. to continue to expand my brands globally. This is only the beginning."
On the other hand, the stocks of Coty Inc. went up by 2% welcoming the week by one of the biggest takeovers. Their shares, having seen a climb of 80% this year, will be profoundly affected by this deal – only in the right way. However, historically, Coty Inc. has not been doing pretty good and not anywhere near the same lines. The company's stock suffered depression for four years straight and hit a low of 60%. However, this takeover has opened new doors for the company and its owners are takeover will open doors for Coty Inc. to enter different fields. This also acts as a license for new skincare, fragrance, and nail products for Kylie Cosmetics. "Together, Coty and Kylie will set and lead the strategic direction of the partnership, focusing on global expansion and entry into new beauty categories. We believe in the high potential of building a global beauty brand together," Coty announced in a press release.
Fans of Kylie Cosmetics are extremely delighted with coming together of these two powerful forces. This would definitely mean one thing—more launches all over the world. This merger also looks like the answer to the long-awaited arrival of rumored Kylie Nail paints and Fragrances.