Kim Kardashian West Becomes a Billionaire After Selling Stake in KKW Beauty
Kim Kardashian West has gone further than anyone ever dared anticipate. In just a few short years, she managed to parlay the attention she received from a raunchy, leaked sex tape into a sprawling business empire that includes her namesake cosmetics line, KKW Beauty.
Kardashian West launched the brand in June 2017 with only a few products, but it has grown to include all kinds of beauty staples — from mascara and eyeliner to body foundation and perfume. On June 29, it was announced that she scored a deal to sell a 20 percent stake in the company to Coty Inc. for $200 million, meaning the brand is valued at $1 billion.
Inside the deal that made Kim Kardashian West a billionaire
TMZ was among the outlets that broke the news. Sources told the outlet that the deal is a “longterm strategic partnership to launch products in new beauty categories and expand across the globe from top to bottom” and that Coty would produce “skin, hair, personal and nail products” for the brand. The deal will reportedly be finalized in the third quarter of 2021.
Kardashian West opened up about the partnership in a statement shared with Harper’s Bazaar, saying, “Partnering with an established organization like Coty will be instrumental in the advancement of my brands as their global reach allows for faster expansion so people around the world are able to experience new launches first hand. This relationship will allow me to focus on the creative elements that I’m so passionate about while benefiting from the incredible resources of Coty, and launching my products around the world.”
Kim Kardashian West has now surpassed Kylie Jenner in the wealth stakes
In November 2019, Kylie Jenner sold 51 percent of her beauty brand Kylie Cosmetics to Coty for $600 million, meaning it valued the brand at $1.2 million. Forbes branded her a billionaire, but it walked back on the title in May, saying she was closer to a $900 millionaire.
With Kardashian West’s new deal, the KKW Beauty mogul has officially toppled her baby sister. But she doesn’t have the highest wealth in her family. Kanye West’s company Yeezy was valued at nearly $3 billion in 2019. Bloomberg reports that West is the sole owner and that he also intends to expand into other industries, including architecture and hospitality.
Kim Kardashian West might be on her way to having another billion-dollar business
In November, sources told TMZ Kardashian West believed her shapewear line, SKIMS, was also on its way to becoming a billion-dollar business, citing how quickly the products sell out each launch.
The reality star released the line in September 2019 after years of struggling to find shapewear for her body type. In the days since, the brand has grown to include pajamas, robes, and more. Read more here.