Coty Sells Off Its Wella Beauty and Hair Care Brands for Over $4 Billion
Beauty, personal care, and cosmetics company Coty (NYSE: COTY) is spinning off its Wella division into a standalone company as part of a $4.3 billion investment deal with global equity firm KKR. This part of the transaction will see the Wella, Clairol, OPI, and ghd brands turned into a separate company, with KKR holding a 60% stake and Coty retaining 40% ownership of the new enterprise, which will carry the Wella name.
Coty earlier responded to the coronavirus pandemic and the plunge in share value the outbreak caused by cutting executive pay by a quarter in mid-April. At that point, the company was still trying to sell its professional beauty division. Now, with the KKR deal, it has realized that goal.
Image source: Getty Images.
Source Fool.com
