The goal is revival
Cosmetics chain The Body Shop goes bankrupt in the UK
February 13, 2024, 6:53 p.m
Listen to article
This audio version was artificially generated. More info | Send feedback
A good 50 years ago, an animal rights activist founded the cosmetics brand The Body Shop. After the peak in the 80s and 90s, competition grew. The company changes owners. It now belongs to a German investor. He is now sending it into creditor protection proceedings on the home market.
The cosmetics chain The Body Shop has filed for bankruptcy for its stores in its home country of Great Britain, almost 50 years after it was founded. The FRP law firm will lead the insolvency proceedings and restructuring, the company said. “The Body Shop has experienced a lengthy period of economic challenges under its previous owners, coupled with a difficult retail environment,” FRP said. Business operations should be maintained for the time being. The aim is to “revive this iconic brand”. The Body Shop has around 200 stores in the UK.
The chain was taken over by the Munich financial investor Aurelius just a few months ago. Business in other countries is initially not affected. The Body Shop is also represented in Germany. In total there are branches in 89 markets. The chain employs around 7,000 people. Headquarters are London.
The Body Shop was founded in 1976 by Anita Roddick in Brighton, England. The animal rights activist sold “ethically justifiable and nature-based ingredients from all over the world, in packaging that had no frills and was easy to refill,” as it says on the company’s website. The first store was already decorated in the brand color dark green.
The Body Shop had its best times in the 1980s and 1990s, but in recent years it has faced increasing competition from companies with a similar business model. This was reflected in the rating. In 2006, the French cosmetics giant L’Oreal bought Body Shop, but seven years ago passed it on to the Brazilian natural cosmetics manufacturer Natura & Co for one billion euros. He in turn announced the sale to Aurelius last November for the equivalent of 242 million euros. Aurelius invests primarily in companies in difficult situations. Body Shop is represented in 89 countries worldwide and the company operates 900 stores in 20 countries.