Personal products brand The Body Shop nears sale to Auréa Group
A consortium led by British businessman Mike Jatania is close to acquiring The Body Shop, the UK cosmetics retailer currently in administration.
Transaction snapshot
Deal value: N/A
Deal multiples: N/A
Deal type: Acquisition out of administration
Investors: Consortium led by Mike Jatania's Auréa Group
The group, which includes Auréa Group and former beauty industry executive Charles Denton, is in exclusive talks to buy The Body Shop. Auréa Group is run by Jatania and ex-UBS banker Paul Raphael.
Auréa Group is known for its expertise in brand building and revitalising underperforming businesses. The firm has a track record of acquiring and growing consumer brands across various sectors, including personal care, cosmetics, and household products.
The consortium plans to keep all UK stores open. This comes after administrators closed underperforming outlets, resulting in job losses.
The Body Shop entered administration in February, just three months after private equity firm Aurelius bought it for £207 million. The company blamed the collapse on financial issues under previous owner Natura & Co.
Before the UK arm's insolvency, The Body Shop's operations in Europe and parts of Asia were sold to a family office. The administrator has been running an auction for the remaining business, which includes about 100 stores.
Founded in 1976 by Anita Roddick, The Body Shop gained popularity for its animal-friendly cosmetics and hygiene products. However, the company has struggled to compete and has been unprofitable for years.
