The Body Shop has been saved after several of their stores were forced to shut earlier this year.
Some 82 of their branches closed their doors for the last time due to financial issues. Now, growth capital firm Auréa have bought out the company and narrowly saved them from administration.
Initially, The Body Shop hoped to redirect their business and get it back to its glory days. However, the company confirmed this year it was up for auction after their restructuring attempts completely fell through and left them with little choice.
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Over 1,500 people are currently employed by The Body Shop and they confirmed that they they have no plans to close any further high street shops. Their next plans aren’t yet released, but they seem keen to keep the business going.
(Image: AFP via Getty Images)
A spokesperson released a statement to The Sun: “As with any business, particularly one that has ended up in administration, there is a need to manage costs but we believe that the stores are an important part of the brand’s connection to its customers.”
Aurèa did reveal that they’re keeping a close eye on their newly-acquired estate and will monitor what is going well, and what isn’t. The brand is strong and they hope to draw on the well-established and familiar reputation of the previous high-street giant.
“We believe there’s a sustainable future ahead and working closely with the management team we aim to restore The Body Shop’s unique, values-driven, independent spirit,” said Charles Denton, the chief executive of The Body Shop.
(Image: Amer Ghazzal/REX/Shutterstock)
It’s been a long and difficult year for Charles, who officially announced that the company went into administration on February 13. The day after, they announced the closure of seven stores and several unemployments.
Since the announcement, around 500 people lost their jobs and 270 who worked in head office were let go. On top of this, 82 branches were closed across the UK.
They tried to restructure and negotiate debts by cutting rent costs with landlords. If this didn’t work, they vowed to sell the business and connecting assets.
Aurèa are set to take over Aurelius as owners. Aurelius bought the company in November and confirmed that they had sold off a lot of the business in mainland Europe and parts of Asia.
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