Yesterday, according to report, Sue Nabi is stepping down as chief executive officer of Coty after a five-year tenure, with Markus Strobel appointed interim CEO and named executive chairman of the board. Shares of Coty closed down 3.5 percent to $3.15 on Monday following the announcement. Strobel succeeds Peter Harf as executive chairman; Harf will retire from Coty’s board after more than three decades of service.
Strobel joins Coty after a 33-year career at Procter & Gamble, most recently as president of P&G’s global skin and personal care business. His experience spans fine fragrance, hair care and grooming, including leadership roles overseeing prestige fragrance assignments for brands such as Gucci, Dolce & Gabbana, Valentino and Hugo Boss. “I am delighted to join Coty at this important juncture,” Strobel said, pointing to opportunities to accelerate growth across prestige and mass beauty while delivering sustainable value. According to an SEC filing, Strobel will receive an annual base salary of $1.25 million—reduced to $1 million once he no longer serves as interim CEO—alongside a one-time cash sign-on bonus of $940,000 and an equity grant under Coty’s long-term incentive plan.
Nabi’s departure comes as Coty navigates a period of heightened strategic pressure. Under the terms of her separation agreement, she will receive a lump-sum cash payment of approximately $1.74 million, representing six months of base salary, and the vesting of roughly 2.08 million restricted stock units, with all other unvested equity forfeited.
The leadership change coincides with the looming loss of Coty’s Gucci fragrance and beauty license when it expires in 2028—an asset that accounts for about 8 percent of sales and roughly 11 percent of profits, according to Evercore ISI—following Kering’s deal with L’Oréal.
Raymond James analyst Olivia Tong said Strobel’s background is “well suited to lead a turnaround,” but cautioned that Coty’s increasing skew toward prestige fragrance heightens category and license concentration risks, placing added pressure on the next CEO to drive innovation, brand health and diversification.
