The new owners of the popular beauty chain, The Body Shop, are lining up administrators for its British arm just weeks after taking control of the cosmetics retailer, in a move which could threaten significant numbers of shops and jobs.
Sky News reported that the company founded by Anita Roddick and her husband Gordon nearly half a century ago is preparing to appoint FRP Advisory to handle an insolvency process for its UK operation, which trades from around 200 stores.
However the chain, founded by the late Dame Anita Roddick, who passed away in 2007, was sold by Brazilian cosmetics chain Natura & Co to Aurelius Group in November.
The £207 million (R4.9 billion) deal saw the investment group take on the chain's 250 British stores.
But they called in insolvency administrators in the UK just weeks after it bought the chain.
The administration process for its UK operations will not impact the brand's global franchise partners, according to one insider.
In South Africa The Body Shop franchise has a store footprint of about 61 stores.
The Body Shop operates around 2 500 retail locations in more than 80 countries and has more 30 Head Franchise Partners across Europe, Middle East & Africa, Latin America and the Asia Pacific region, trading in 70 of The Body Shop markets around the world.
The Body Shop Franchise owned and operated under licence by New Clicks South Africa.
The Body Shop is a B Corp certified global beauty brand and the first with 100% vegan product formulations certified by The Vegan Society.
“When The Body Shop first opened its doors in 1976, it was a small green-painted shop in Brighton, England. Its approach to beauty was markedly different from that of the industry's major players. It was straightforward - ethically sourced and naturally derived ingredients from around the world, in uncomplicated packaging that could be easily refilled. Products and beauty rituals are designed for everybody, with the goal of making women feel good in their own skin rather than promising to make them look like someone else,” The Body Shop explains on its website.
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