A consortium led by British business tycoon Mike Jatania has agreed to buy The Body Shop out of insolvency. The buyout of the stricken high street cosmetics retailer is expected to complete in the coming weeks, according to a statement made on Wednesday. The Body Shop went into administration in February with the closure of 75 shops and the loss of 489 jobs .
Mike Jatania’s investment firm Aurea is leading a consortium bidding to takeover the struggling business. Charles Denton, the former chief executive of beauty brand Molton Brown, is being lined up to head the management team. The joint administrators of The Body Shop International and Aurea said: “While the deal is not yet complete, we believe the combined experience of the consortium, together with the existing management team, represents the best outcome for creditors and will ultimately ensure the long-term success of The Body Shop.
“A period of due diligence will now take place, with the intention to complete the transaction in the coming weeks.” The administrators confirmed that no further statements will be made until the deal has been completed. Reports started emerging in February that the household name was in financial trouble after trading during the vital Christmas period and into January was not as strong as had been previously hoped.
Administrators FRP added that the business had “faced an extended period of financial challenges under past owners, coinciding with a difficult trading environment fo.
