Damn, it’s been a crazy year for the Kardashian-Jenner-West family fortune trackers. In November 2019, Kylie Jenner sold a 51% stake in her cosmetics company for $ 600 million. In late April, it was revealed that Kanye West was not only a billionaire, but a multimillionaire thanks to this incredibly lucrative Adidas / Yeezy partnership. A few weeks ago, we learned that Kylie Jenner was actually NOT a billionaire (something we’ve been claiming for a long time) and allegedly falsified tax returns to induce Forbes to write several complimentary articles on the youth makeup empire. We now learn that Kim Kardashian, the OG “superstar” of this family of superstars, is reaching billionaire status herself. It was a real roller coaster to say the least!
Let’s talk about today’s news.
We just announced that Kim Kardashian sold a 20% stake in his cosmetics company KKW Beauty to the cosmetics holding company Coty for $ 200 million. The deal (as you have hopefully seen) puts the company at $ 1 billion and leaves Kim with a 72% stake. This means that Kim received $ 200 million as part of an agreement expected to be made in the first quarter of 2021. His 72% stake in the paper is worth $ 720 million. Kim’s mother, Kris Jenner, is the proud owner of the remaining 8% (valued at $ 80 million before tax based on today’s sale).
If the name Coty sounds familiar to you, it’s because it’s the same company that bought 51% of Kylie Cosmetics from Kylie Jenner at a valuation of $ 1.2 billion in November.
Coty, which also owns brands like Clairol nail polish and OPI, has struggled in recent years with revenues and turnover of senior executives. The European company, controlled by an investment company called JAB Ltd., has seen its share price decimated in recent years. It dropped by half shortly after acquiring a dozen cosmetic brands from Procter & Gamble. The stock fell 70% in the six months following the announcement of the acquisition of Kylie Cosmetics.
The headline is up 13% from today’s KKW Beauty news, an increase in market capitalization of approximately $ 300 million.
Before today’s sale, we calculated Kim Kardashian’s net worth at $ 350 million. This included KKW’s pre-tax valuation of $ 200 million previously estimated. After removing $ 200 million from today’s sale, it will add just over $ 100 million in after-tax cash to its vaults.
After taking into account the taxes and other considerations on his remaining $ 720 million stake in KKW Beauty, we estimate that Kim Kardashian’s net worth is $ 900 million today.
If this number seems impressive, keep in mind that her husband Kanye West’s net worth is $ 3.2 billion according to our most recent estimate. This means that the couple is wearing a combined net worth of $ 4.2 billion.
At $ 900 million, Kim is $ 300 million richer than her little half-sister Kylie Jenner. We reduced Kylie’s equity to $ 600 million a month ago after Coty released the updated performance results for the Kylie Cosmetics brand.
Congratulations to Kim!