Coty Sells Remaining Stake in Haircare Brand Wella to KKR (1)

Coty Inc. has sold its remaining stake in Wella to KKR & Co. for $750 million in cash and rights to certain future proceeds as the beauty company works to reduce its debt load.

It will get 45% of the proceeds from any Wella sale or initial public offering after KKR’s preferred return has been met, the company said in a statement, confirming an earlier report by Bloomberg News. It said most of the $750 million upfront cash will be used to pay down debt, a key goal for Coty’s leadership.

Coty shares rose as much as 3.1% in ...