LOS ANGELES, CALIFORNIA: According to reports, Kim Kardashian is in discussions to repurchase the small portion of her skincare line SKKN By Kim back from Coty, three years after making $200 million from the sale. The Wall Street Journal reported on Tuesday, July 11, quoting sources who know the situation, that the reality star, 42, is attempting to reclaim ownership of the 20% stake in the brand she had sold to the fragrance and cosmetics company in 2020.
The report added that Kardashian intended to acquire the minority stake back in order to increase the scope of SKKN's beauty categories, but no price for the deal had been established and negotiations could still break down. In June 2020, New York-based Coty acquired a 20% stake in the reality TV star's cosmetics company, valued at $1 billion. The French-American business, which owns a wide range of brands like Max Factor and CoverGirl, saw a rise of up to 4% in after-hours trading for its shares.
Who owns Coty?
Coty Inc.'s 10% owner, Cottage Holdco B.v., owns approximately 454,168,370 shares of the company's stock, which is currently valued at more than $5.9 billion, as per the Gurufocus website. The highly accomplished businesswoman and entrepreneur in the cosmetics industry, Sue Y Nabi, assumed official leadership of Coty Inc on September 2020.
Nabi has 27 years of expertise in the cosmetics industry, spanning Coty's primary strategic emphasis areas. This includes a history of achievement in the core perfumes, color cosmetics, and skincare categories throughout the mainstream and luxury channels, as well as in important overseas countries where brands have successfully built their reputations, as per the company's website. In 1993, she started working for L'Oréal, where she eventually worked her way up to become the company's youngest-ever CEO. She joined Lancôme in 2009, guiding it to three years of double-digit growth and a record €3.2 billion in sales.
Nabi co-founded Orveda, a super-premium, clean, and vegan skincare line, with Nicolas Vu. Orveda debuted in 2017. She was appointed CEO of Coty in July 2020 as part of a leadership reform at the company.