Kim Kardashian’s Net Worth
Kim Kardashian’s net worth is more than half-sister Kylie Jenner’s net worth. The KKW Beauty Company owner gained this profit from her deal with Coty. Kim sold 20 percent of her KKW company to Coty making her company’s value rise to $1 billion. After factoring in this deal, Kim Kardashian’s net worth is a total of $780 million as per Forbes.
The deal was announced in June 2019. Due to the COVID-19 pandemic, the sale of beauty products has dropped significantly, and both Kylie and Kim’s net worth has also been affected. Kylie Jenner made a similar deal with Coty in January 2020She sold 51% shares of Kylie cosmetics to Coty which resulted in her being the Forbes Youngest self-made billionaire with a net worth of $1.2 billion at the time now reducing it to $700 million.
Kim Kardashian is one of the most influential celebrities on Instagram with around 198 million followers. Her beauty products are widely famous among other celebrities and have users from across the globe. Kim Kardashian’s net worth also consists of her cash, real estate, and other investments, excluding any property or cash from her husband, billionaire Kanye West.
Talking about her merger with Coty Kim said in a press release, “I’m so proud of how the KKW brand has grown over the past four years, and I look forward to working with Coty for the next phase of innovation, advancement, and the ability to bring new launches to customers all around the world, This relationship will allow me to lead the development of the creative elements that I specialize in, while benefiting from the incredible resources of an established company like Coty.”
Kim Kardashian And Coty
Coty is a global company that specializes in skincare and development with forays into hair care, personal care, and nail products. On the merger with KKW Coty CEO Sue Y. Nabi said, “Kim shares our true passion for beauty products, and this acquisition allows us to leverage our respective strengths for mutual benefit and value creation. Coty brings unique IP in skincare, the scientific knowledge of the skin as reflected in our formulation know-how, while Kim brings a huge global following and unparalleled influence over consumer choice.”
“She has a unique ability to read the latest beauty and wellness trends, while we have the expertise on global product positioning, access to a vast global distribution network, and the resources to enter new beauty categories,” Nabi added. “I look forward to working closely with Kim and her team and I’m excited by everything we will achieve together.”
Well after the pandemic loss, it will be interesting to see how Coty remains as a top cosmetic company as their stocks have gone down to nearly 70% since the start of the year. They are also well known for overpaying companies. In the case of Kylie Cosmetics, they gave nearly 7x sales compared to an industry standard of about 6x.
“Coty has yet to prove themselves, especially in prestige makeup. They are known as a mass brand, and now they paid a lot of money for something they don’t have much experience in,” says cosmetics veteran Jeffrey Ten, who has run companies like Note Cosmetics, Nyx, and Calvin Klein Beauty. “And now with coronavirus, makeup is under tremendous pressure.”