The Body Shop could potentially emerge from administration next month, according to the boss of its prospective new buyer.
Tycoon Mike Jatania’s Auréa consortium entered into an exclusivity agreement with the joint administrators of The Body Shop International last week to save the struggling beauty brand.
Charles Denton, who is leading the management team for Auréa group’s consortium, wrote on LinkedIn that The Body Shop could “emerge from administration in August” if all goes to plan.
Denton, the former CEO of Molton Brown, said: “Over the next few weeks, we will work together to develop a strategic plan that sets up the business for long term growth.
“If everything plays out as intended, we should emerge from administration in August.
“It is time to change the narrative around this powerful brand which is loved all over the world.
“I am optimistic about the future and look forward to what we can achieve together.
“Will it be tough, absolutely, but we have all the right ingredients to succeed.”
However, The Body Shop’s buyout deal is not yet complete, with a period of due diligence taking place.
“The intention [is] to complete the transaction in the coming weeks,” read a joint statement from the joint administrators of The Body Shop International and Auréa.
The Body Shop collapsed into administration in February 2024, just months after being acquired by private equity firm Aurelius.
The UK and German arms fell on 13 February, with the Denmark business following on 29 February.
This came after an extended period of financial challenges for The Body Shop, including multiple consecutive quarters of losses with former owner Natura & Co.
The Body Shop France is also rumoured to be on the verge of liquidation.
Read more:
- The Body Shop’s new owner can revive the retail icon – here’s how
- The Body Shop’s next steps: Inside an administration journey
- Why does no one know what to do with The Body Shop?
