Kylie Jenner sells majority stake in her cosmetics company for $600 million

Jenner has sold 51% of Kylie Cosmetics to beauty giant Coty, which houses big name brands CoverGirl and Clairol.
3:21 | 11/19/19

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Transcript for Kylie Jenner sells majority stake in her cosmetics company for $600 million
moment but we have our "Gma" cover story right now. Kylie Jenner cashing in in a big way. The 22-year-old makeup mogul has just sold controlling interest in her cosmetics company for a cool $600 million. I know, right? Rebecca Jarvis here with the details of the deal. Do tell. It is an eye-popping number. One thing to say your company is worth a billion. It's another to actually get paid for it and this seals the deal at just 22 years old, kylie Jenner is now the richest member of the Kardashian clan. From one of the world's youngest self-made billionaires to the possible savior of one of the world's most famous makeup brands, kylie Jenner just sold a majority stake in her booming business kylie cosmetics to beauty conglomerate Coty for $600 million. Coty which owns brands like clairol, nail Polish brand opi and cover girl. Easy, breezy, beautiful covergirl. Reporter: And struggled to stay competitive with social media driven companies crushing drugstore sales. Enter kylie, the queen of the selfie, her beauty empire's expansion driven almost entirely by her savvy use of social media. The reality star says she'll stay on as the face of the company saying I look forward to continuing the creativity and ingenuity for each collection that consumers have come to expect and engaging with my fans across social media. Showtime, go time. Reporter: In 2015 at the age of 18, Jenner launched a line of $29 lipstick kits to almost instant success. The brand expanding from there. She was making tens of millions of dollars selling basically just these lip kits at first and she didn't spend anything in marketing because she did it all on her own on social media. 3 1/2 years later at 21, the social media maven who reaches a massive 270 million followers on her various platforms seized that coveted "Forbes" title of world's youngest self-made billionaire. Besting the previous record holder, Mark Zuckerberg, who was 23 when he landed that cover. This is kylie. Reporter: But that title not without controversy starting a fierce debate about what self-made really means. Jenner defending herself saying none of her money has come from inheritance. Her new partners are relying heavily on the star's gigantic and loyal fan base to boost sales but some critics are questioning whether it's the right play for the long haul. With kylie cosmetics there's always the question of are consumers just buying the product because kylie is attached. With kylie only owning 49% of kylie cosmetics, is she still going to be present enough that fans are going to flock to it? So that question is this a fad? Coty says absolutely not. Kylie cosmetics brought in about $177 million in sales last year. They've been growing rapidly and perhaps the most valuable thing is that social following, robin. Kylie brings with her 270 million followers across all this different social media, more than twice the number of people who watched the super bowl last year and that's every single day of her life she has access to that. They are very loyal followers. So loyal. They do what she tells them to do. Thank you, Rebecca. All right, you two.

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