Fragrance and cosmetic company Coty Inc. announced today that it will purchase a 51% stake in Kylie Jenner’s beauty business—which includes Kylie Cosmetics and Kylie Skin—for $600 million. The deal values the business at nearly $1.2 billion— and it confirms Kylie Jenner as a billionaire.
Coty, the parent company of Covergirl and Sally Hansen, is looking to appeal to a younger demographic with the purchase.
“It’s the power of social media,” Jenner told Forbes in 2018. “I had such a strong reach before I was able to start anything.”
Based on information from Kylie Cosmetics, earlier this year Forbes estimated the company’s 2018 revenues at $360 million. But according to a statement on Monday from Coty, Kylie Beauty generated revenues of $177 million over the past 12 months—a figure that, according to a presentation to investors, represents 40% growth over the 2018 calendar year. The company’s EBIDTA margin is more than 25%