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Coty Sells Remaining Stake in Wella to KKR

  • Coty Inc. sold its remaining 25.8% stake in Wella to KKR managed capital accounts & investment affiliates.
  • The transaction provides Coty with $750 million in immediate cash proceeds.
  • Coty retains the right to 45% of future proceeds from a Wella sale or IPO after KKR's preferred return is met.
  • The sale completes Coty's multi-year monetization program & divestment of Wella by the end of CY25 as originally targeted.
  • Proceeds & strong free cash flow are expected to reduce Coty's financial net leverage to ~3x by the end of CY25.
  • Coty intends to use the majority of upfront cash proceeds to pay down short-term & long-term debt.
  • Financial advisor Citi & legal advisor Skadden, Arps, Slate, Meagher & Flom LLP assisted Coty.
  • Simpson Thacher & Bartlett LLP served as legal counsel to KKR.