The Body Shop has collapsed into administration in the UK, less than three months after it was taken over by a private equity company, in a move that puts hundreds of jobs at risk at the cosmetics chain.
Aurelius, the German buyout company that bought The Body Shop for £207m in November, said it had been unable to revive the fortunes of the business after dismal trading over Christmas and new year.
Aurelius confirmed that it had appointed the accounting firm FRP Advisory as administrator, raising concerns over the future of the business founded by the late environmental and human rights campaigner Anita Roddick in 1976.
In a statement, it said: “Today, the Directors of The Body Shop International Limited have appointed Tony Wright, Geoff Rowley, and Alastair Massey of business advisory firm FRP as Joint Administrators of the company, which operates The Body Shop’s UK business.
“Taking this approach provides the stability, flexibility and security to find the best means of securing the future of The Body Shop and revitalizing this iconic British brand. The Joint Administrators will now consider all options to find a way forward for the business and will update creditors and employees in due course.”
The business has more than 200 UK stores, and sources familiar with the situation said they expected the brand to survive in some form but with far fewer shops. It employs more than 2,000 people in the UK.
More details soon …