Kim West’s beauty business is valued about $180 million less than Kylie Jenner’s

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The difference between being one of the most recognized people in the world and being one of the most admired is worth about $180 million dollars, according to global beauty company Coty. Inc.

Coty
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announced Monday a “strategic relationship” in which it paid $200 million for a 20% stake in reality TV star Kim kardashian West’s beauty business, KKW Beauty. Under terms of the deal, Coty will be responsible for the “portfolio’s development” in skin care, haircare, personal care and nail products, and kardashian West will “lead all creative efforts in terms of product and communication initiatives.”

The investment implies a $1 billion valuation for KKW Beauty.

Coty had disclosed earlier this month that it was in talks with kardashian West regarding a possible collaboration. The deal comes less than a week after Kim’s husband Kanye West and Gap Inc.
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announced a partnership in which Kanye will launch a Yeezy Gap collection next year.

Wells Fargo analyst Joe Lachky said he didn’t expect the deal to have a material impact on Coty’s financials in the near term, given the small ownership stake, but he said it could become “more material” over time as it includes a licensing agreement that puts Coty in charge of expanding the brand outside of cosmetics and fra

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