Coty Completes Acquire of 20{f13b67734a7459ff15bce07f17c500e58f5449212eae0f7769c5b6fbcf4cc0c4} Stake in Kim Kardashian West Enterprise

NEW YORK–(Company WIRE)–Coty Inc. (NYSE: COTY), a single of the world’s greatest magnificence corporations and the worldwide chief in fragrances, these days announced the concluded acquisition of a 20{f13b67734a7459ff15bce07f17c500e58f5449212eae0f7769c5b6fbcf4cc0c4} ownership desire in Kim Kardashian West’s business enterprise for $200M.

The strategic transaction was announced in June 2020 and successfully finished on timetable in Q3 fiscal yr 2021. Alongside one another, Coty and Kardashian West will aim on moving into new natural beauty categories and global enlargement over and above present product strains. This incorporates the progress of her skincare line, which remains on keep track of for an predicted launch in fiscal calendar year 2022.

Sue Y. Nabi, Main Govt Officer of Coty, reported: “Kim shares our genuine enthusiasm for magnificence goods, and this acquisition enables us to leverage our respective strengths for mutual profit and price development. Coty delivers distinctive IP in skincare, the scientific information of the pores and skin as mirrored in our formulation know-how, even though Kim provides a big world wide subsequent and unparalleled impact above client choice. She has a distinctive potential to study the most up-to-date attractiveness and wellness traits, while we have the abilities on global merchandise positioning, obtain to a extensive worldwide distribution network, and the sources to enter new splendor categories. I glimpse ahead to functioning intently with Kim and her staff and I’m thrilled by every thing we will reach together.”

Kardashian West and her team will lead the artistic initiatives relating to product or service and communications initiatives, making on her remarkable worldwide attain capabilities by means of social media. Coty will have total responsibility for the portfolio’s growth (skincare, haircare, particular treatment and nail products and solutions), leveraging its deep comprehension of the sector and its industrial and go-to-current market knowledge. By means of this romantic relationship every single celebration will leverage its special strengths to enhance a significant development, direct-to-purchaser (DTC) initial splendor manufacturer. Solutions will be offered by way of top luxurious elegance suppliers, as properly as owned electronic channels.

Kim Kardashian West said: “I’m so very pleased of how the KKW brand has developed over the previous 4 years, and I look ahead to performing with Coty for the subsequent stage of innovation, advancement, and the skill to deliver new launches to shoppers all close to the globe. This partnership will allow for me to guide the progress of the resourceful factors that I focus in, whilst benefiting from the amazing means of an set up business like Coty.”

Kardashian West is one particular of the world’s optimum-profile and influential shopper personalities, with 300 million followers across her personalized and manufacturer social media channels and a massive world viewers. She initially emerged as a leading star with the good results of the Tv sequence ‘Keeping Up with the Kardashians’. In late 2020, it was introduced that Disney is doing the job with the Kardashian-Jenner family on world material on its Hulu and Star platforms.

Ahead Wanting Statements

Specified statements in this launch are “forward-seeking statements” inside of the which means of the Private Securities Litigation Reform Act of 1995. These forward-seeking statements reflect the Company’s present-day sights with respect to, amongst other items, the Company’s long run operations, financial functionality and outlook for long term reporting intervals (like the extent and timing of earnings, expenditure and revenue developments and modifications in operating income flows and dollars flows from functioning functions and investing activities), the Company’s long run operations and strategy (which include the anticipated implementation and related affect of its strategic priorities). These forward-looking statements are commonly identified by text or phrases, these as “anticipate”, “are heading to”, “estimate”, “plan”, “project”, “expect”, “believe”, “intend”, “foresee”, “forecast”, “will”, “may”, “should”, “outlook”, “continue”, “temporary”, “target”, “aim”, “potential”, “goal” and identical words and phrases or phrases. These statements are based mostly on particular assumptions and estimates that we take into consideration reasonable, but are subject matter to a variety of hazards and uncertainties, many of which are beyond our control, which could bring about genuine functions or benefits (such as our financial issue, results of operations, funds flows and potential customers) to differ materially from these statements, like risks and uncertainties relating to:

• litigation, arbitration, which include the grievance submitted by Seed Magnificence, LLC and MM Cosmetics, LLC against KKW Attractiveness, LLC, or investigations relating to the strategic partnerships with Kylie Jenner and Kim Kardashian West

• the Company’s ability to achieve its international small business tactic, contend successfully in the natural beauty marketplace and obtain the added benefits contemplated by the strategic partnerships with Kylie Jenner and Kim Kardashian West in the predicted time body

• inherent risks affiliated with joint ventures and partnerships, together with relating to regulate and conclusion-making, compliance, financial accounting and tax concerns, transparency and consumer relations

• managerial, integration, operational, regulatory, lawful and economical threats related with acquisitions frequently and the strategic partnerships with Kylie Jenner and Kim Kardashian West specifically, such as hazards linked to the entry into a new distribution channel, the probable for channel conflict, pitfalls of retaining buyers and crucial staff, complications of integration (or the risks connected with restricting integration), challenges associated to regulation of multi-degree marketing business versions, capacity to shield logos and manufacturer names, litigation or investigations by governmental authorities

• variations in legislation, restrictions and procedures that influence the Company’s or KKW Holdings, LLC’s (“KKW Holdings”) company or products and solutions, such as hazard that immediate marketing guidelines and rules may perhaps be modified, interpreted or enforced in a method that effects in a detrimental impact to the Company’s or KKW Holdings’ business enterprise product, earnings, profits power or business enterprise

• the effect of COVID-19 (or foreseeable future equivalent occasions), like demand for the Company’s and KKW Holdings’ products and solutions, illness, quarantines, govt actions, facility closures, shop closures or other limitations in relationship with the COVID-19 pandemic, and the extent and duration thereof, similar impression on the Company’s capability to satisfy client needs and on the capacity of 3rd get-togethers on which the Company and KKW Holdings rely, which include their suppliers, clients, agreement suppliers, distributors, contractors, commercial financial institutions and joint-enterprise companions, to meet their obligations to the Corporation and KKW Holdings, in distinct, collections from prospects, the extent that authorities funding and reimbursement plans in relationship with COVID-19 are readily available to the Enterprise and KKW Holdings, and the potential to efficiently employ steps to answer to this sort of impacts

• managerial, transformational, operational, regulatory, authorized and economic hazards, which includes diversion of administration focus to and management of income flows, charges and charges associated with the Company’s and KKW Holdings’ response to COVID-19, the integration of acquisitions (including the strategic partnerships with Kylie Jenner and Kim Kardashian West), and future strategic initiatives, and, in specific, the Company’s capacity to deal with and execute numerous initiatives concurrently which includes any ensuing complexity, employee attrition or diversion of resources

• world wide political and/or financial uncertainties, disruptions or important regulatory or policy changes, and/or the enforcement thereof that affect the Company’s or KKW Holdings’ business enterprise, financial performance, functions or goods, together with the impact of Brexit (and enterprise or market place disruption arising from a “hard Brexit”), the latest U.S. administration and new election, improvements in the U.S. tax code, and the latest improvements and foreseeable future variations in tariffs, retaliatory or trade defense steps, trade procedures and other worldwide trade regulations in the U.S., the European Union and Asia and in other regions in which the Enterprise and KKW Holdings run

• disruptions in functions, revenue and in other places, together with because of to disruptions in the Company’s or KKW Holdings’ offer chain, restructurings and other business enterprise alignment things to do, the completion of the Wella Transaction and connected carve-out and changeover things to do, production or information technology techniques, labor disputes, extreme climate and pure disasters, influence from COVID-19 or equivalent world public wellbeing situations and the effect of these types of disruptions on the Company’s and KKW Holdings’ capacity to create gains, stabilize or increase revenues or cash flows, comply with their contractual obligations and accurately forecast need and source needs and/or future success

• limits imposed on the Business by way of their license agreements, credit score facilities and senior unsecured bonds or other content contracts, their skill to crank out cash flow to repay, refinance or recapitalize debt and usually comply with their personal debt devices, and improvements in the fashion in which the Company finance their credit card debt and upcoming funds demands and

• other factors explained elsewhere in this doc and in files that the Organization data files with the SEC from time to time.

When employed herein, the time period “includes” and “including” means, unless the context normally indicates, “including devoid of limitation”. Much more data about probable risks and uncertainties that could influence the Company’s small business and financial results is included under the heading “Risk Factors” and “Management’s Dialogue and Analysis of Financial Issue and Success of Operations” in the Company’s Yearly Report on Variety 10-K for the yr finished June 30, 2020 and other periodic stories the Enterprise has filed and may possibly file with the SEC from time to time.

All forward-wanting statements produced in this release are capable by these cautionary statements. These forward-hunting statements are produced only as of the day of this release, and the Corporation does not undertake any obligation, other than as may perhaps be necessary by relevant legislation, to update or revise any ahead-looking or cautionary statements to reflect adjustments in assumptions, the incidence of activities, unanticipated or in any other case, or alterations in future functioning effects about time or usually.

Finishes

About Coty Inc.

Coty is a person of the world’s greatest magnificence corporations with an iconic portfolio of brand names throughout fragrance, shade cosmetics, and pores and skin and system treatment. Coty is the world chief in fragrance and quantity 3 in colour cosmetics. Coty’s items are marketed in over 150 nations all over the environment. Coty and its models are fully commited to a selection of social brings about as effectively as trying to find to lower its impact on the atmosphere. For further details about Coty Inc., please visit www.coty.com.

About Kim Kardashian West

Kim Kardashian West is 1 of the world’s most-influential individuals on social media with a combined following of 300 million people and counting. An entrepreneur, natural beauty mogul, producer and writer, she 1st burst onto the scene in 2007 just after the premiere of her hit E! Amusement reality sequence “Keeping Up with the Kardashians”, which is currently filming its 20th time. In late 2020, it was announced that Disney is operating with the Kardashian-Jenner household on worldwide information on its Hulu and Star platforms.

By her perform with business make-up artists, Kardashian West produced a appreciate and comprehension for makeup artistry, and introduced her eponymous cosmetics line, KKW Elegance in June of 2017. Because inception, KKW Elegance has launched collections revolutionizing the direct to client design by offering out a number of launches. In November of the exact same year, Kardashian West released KKW Fragrance and carries on to make market out collections. In October 2019, KKW Splendor entered Ulta Elegance as the exceptional retailer in the US.

In 2019, Kardashian West launched her remarkably expected solutionwear collection, SKIMS, as a new approach to condition boosting undergarments which offered out in the first few minutes of start.

Kardashian West has been passionate about the struggle for prison justice reform and has been researching for a legislation degree by way of the apprenticeship software in the point out of California. She is expected to take the bar in 2022. She is also a supporter of many charitable companies which includes the Children’s Hospital Los Angeles, the Aspiration Foundation, catastrophe aid attempts such as the the latest Covid-19 pandemic and donating to organizations concentrated on producing modify and battling radical injustice.