- Coty Inc. and Kylie Jenner announced that Christoph Honnefelder will assume the role of CEO of Kylie Cosmetics and Kylie Skin. Jenner was previously her company’s CEO, according to the Wall Street Journal.
- Honnefelder was previously the executive vice president of assortment and purchasing at Douglas, a European beauty retailer.
- In addition, Coty and Jenner have formally commenced their “long-term strategic partnership” to help turn Jenner’s beauty business into a “global powerhouse brand,” according to Coty’s press release.
- In November 2019, Coty announced its intention to acquire a 51% stake for $US600 million dollars, valuing the Kylie Cosmetics at $US1.2 billion. A press release at the time noted that the acquisition was expected to close “in the third quarter of fiscal year 2020.”
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Coty and Kylie Jenner announced that Christoph Honnefelder will take over as CEO of Kylie Cosmetics and Kylie Skin. In addition, Coty and Jenner have commenced their “long-term strategic partnership” to help expand Jenner’s current makeup empire into a “global powerhouse brand,” according to Coty’s press release.
Jenner and her team will still lead “all creative efforts in terms of product and communications initiatives,” while Coty will lead the portfolio’s “overall” development. Previously, Honnefelder served as the executive vice president for assortment and purchasing at Douglas, a European beauty retailer.
Jenner sells majority stake for $US600 million
Coty, controlled by the European investment firm JAB Ltd., agreed to purchase a 51% stake in the company for $US600 million, valuing the brand at $US1.2 billion. The Wall Street Journal reported in November that Jenner would remain the “public face” of the brand.
Jenner founded the brand in 2015, and it quickly became successful. In 2017, two years after its launch, Forbes reported that the brand already had a valuation of $US800 million, with Jenner, at the time, on track to become the youngest self-made billionaire in history. She achieved this feat just two years later, in 2019, according to Forbes.
Coty said in a November statement that Jenner’s brand was set to bring in roughly $US200 million in sales by the end of 2019.
Known primarily known for their brands CoverGirl, Clairol hair dye, and OPI nail polish, Coty has struggled with weak sales in recent years, WSJ reports. The Wall Street Journal’s Sharon Terlep reported in early November that the beauty conglomerate was restructuring and had experienced high executive turnover, with Coty on its third CEO in as many years. With this deal, Coty will refocus on revitalizing its flagging beauty division.
A representative for Kylie Cosmetics declined to comment further when reached by Business Insider. Representatives for Coty didn’t immediately respond to a request for comment from Business Insider.
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