The UK arm of The Body Shop has appointed insolvency administrators after years of financial struggles.
The retailer, which grew from a single shop in 1976 in Brighton, England to hundreds of stores around the world, has appointed FRP Advisory to oversee administration.
FRP said it will “now consider all options to find a way forward” for The Body Shop International Limited.
“Taking this approach provides the stability, flexibility and security to find the best means of securing the future of The Body Shop and revitalising this iconic British brand,” it added.
“The Body Shop has faced an extended period of financial challenges under past owners, coinciding with a difficult trading environment for the wider retail sector."
German private equity firm Aurelius paid £207m ($261m) for The Body Shop in November 2023, but the retailer ran into trouble in a tough economic climate over Christmas.
The beauty products retailer was founded by Anita Roddick as one of the first companies to promote so-called ethical consumerism, highlighting its fair trading practices and cosmetics and skincare products that were not tested on animals.
The brand became hugely popular in the 1980s, when it listed on the London Stock Exchange, and has stores in some 80 countries, including many operated through franchises.
Roddick and her husband sold The Body Shop to L’Oreal in 2006.
The brand was passed on to Natura, the Brazilian cosmetics business, in 2017, which sold it on to Aurelius late last year.
The company employed about 7,000 people worldwide at the time of the takeover.
At the time, Aurelius expressed optimism that it could re-energize the iconic British brand “despite the challenging retail market.”
The chain will continue to trade through its 199 UK stores and online during the administration process, but the news that it has gone into administration will likely put hundreds of jobs at risk.
