Coty sells stake in Kim Kardashian's beauty brand

Coty is selling its 20% stake in Kim Kardashian's beauty brand to her clothing line, SKIMS, bringing the two businesses together under one unified brand.

The divestiture comes after the group invested in SKKN by Kim in 2020 and completed the transaction in 2021.

Coty will use the proceeds from the sale to reduce debt and invest in innovations across its wider brand portfolio, which also includes Kylie Cosmetics and Rimmel London.

After shutting down KKW Beauty in 2021, Kardashian launched SKKN by Kim to "bridge the gap between dermatological experts and people at home seeking high-performance skincare". It later introduced makeup.

The US-based brand's science-backed, clean and cruelty-free formulas aim to support the skin’s natural renewal abilities and offer an "indulgent" at-home experience.

Anna von Bayern, CEO of Kylie Cosmetics and leader of Kim Kardashian’s beauty business at Coty, said: "Since Coty’s establishment more than 120 years ago, we have remained at the forefront of consumer innovation.

"I would like to thank Kim for the partnership and look forward to continuing our work on our hugely successful Kylie Cosmetics brand, which we have grown by 1.5x in the last two years and where we own the majority, as well as hold the perpetual license."

Coty revenues flatlined during the first half ending 31 December. The company saw revenues decrease by 1% year-on-year, supported by prestige and mass fragrances.

It expects sales to be down 1-2% in the second half. To drive growth, the business has planned several key brand initiatives and distribution opportunities for FY26.