Coty has decided to spend $600 million for a majority stake in Kylie Jenner’s cosmetics brand.
The beauty company plans it to invest the amount for acquiring a 51% stake in Kylie Cosmetics.
Under the deal, Jenner and her team will lead the social media and product communications segments, while Coty will work on global promotion of her brand. Kylie Jenner has 150 million followers on Instagram, and 30 million on Twitter.
Kylie Cosmetics raked in $177 million in revenue over the past year, according to Coty.
In June, Coty announced a $600 million turnaround plan that includes layoffs and streamlining its businesses. The company also revealed a $3 billion write down in value of brands it acquired in 2015 from Procter & Gamble, which included CoverGirl and Clairol.
Coty’s investment in Kylie Cosmetics is expected to close in the third quarter of 2020. Coty called the transaction a "key milestone" for the company.