THE WHAT? Melvin Capital Management has upped its stake in Coty two-fold, bringing its total share to 5 percent, according to a report published by Bloomberg. The move follows on from KKR’s sale of roughly 20 million shares in Coty, although is said to be unrelated.
THE DETAILS Melvin’s stake now stands at 21.7 million common shares, plus options to acquire an additional 19.5 million. At the close of June this year, Melvin held some 10 million shares, per Bloomberg.
THE WHY? Coty’s latest set of results sent shares up as it reported a revenue rise of 22 percent, above guidance thanks to a combination of growth in both e-commerce and bricks and mortar outlets.