Skims Takes High Stake in Beauty Market
The move marks a significant shift in the beauty and skincare market, with Skims poised to become a major player in the industry. The company's expansion into beauty, skin care, and fragrance is expected to have a significant impact on the market, and its plans to open its doors in 2026 are highly anticipated. The acquisition also marks the end of Coty's partnership with Kim Kardashian, and the company will continue to focus on its deleveraging strategy and invest in its brand portfolio.
Skims, the shapewear and apparel company founded by Kim Kardashian, has acquired Skkn by Kim from Kim Kardashian and Coty, gaining 100% ownership of the brand and expanding its stake in the beauty and skincare market.
The acquisition is part of Skims' plans to expand into beauty, skin care, and fragrance, with the company aiming to open its doors in 2026 to offer a wider range of products. Kim Kardashian will remain the company's single biggest shareholder, alongside CEO Jens Grede, with an 80% stake in Skims. The company has a valuation of $4 billion and has raised $270 million in a series C funding round, solidifying its position in the market.
Coty, which acquired a 20% stake in KKW Beauty for $200 million in 2021, will use the proceeds from the sale to progress its deleveraging strategy and invest in its brand portfolio. The company will continue to work with Kylie Jenner on her brand, Kylie Cosmetics, in which it maintains majority ownership and perpetual license. The partnership between Coty and Kim Kardashian has concluded, with Coty citing the need to advance its deleveraging strategy and invest in broader brand portfolio innovations.
The acquisition is seen as a strategic move by Skims to expand its offerings and enter new markets, and is expected to have a significant impact on the beauty and skincare industry. With its expanded stake in the market, Skims is poised to become a major player in the industry, and its plans to open its doors in 2026 are highly anticipated.