The Body Shop is set to sell parts of its Europe and Asia business under the new ownership of private equity firm Aurelius.
The beauty retailer has signed an agreement with “an international family office to sell its business in most of mainland Europe and in parts of Asia” as it moves towards “delivering a strong turnaround strategy”, Retail Week reported.
The parts of The Body Shop being sold make up around 14% of its external global sales and will not impact its UK operations or its global head franchise partners operating at a country or territory level.
While details of the deal have not been disclosed, the sale includes the business’ physical and digital operations.
The Body Shop said the move would allow it to prioritise “strategically important markets” as it seeks to “create a modern and dynamic beauty brand”.
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The Body Shop told Retail Week: “This further prioritises The Body Shop’s strategically important markets and global head franchise partner relationships, which it will look for opportunities to build.
“The Body Shop will also focus on more effectively reaching customers by strengthening digital platforms, developing new sales channels, and via differentiated retail experiences.”
It continued: “The announced sale is another decisive step towards delivering a strong turnaround strategy for The Body Shop, supported by the right structure.
“The ambition is to create a modern and dynamic beauty brand, relevant to customers and able to compete for the long term.”
The deal is the latest change at The Body Shop under the new ownership of private equity firm Aurelius, who snapped up the business from Natura &Co for £207m in November.
Earlier this month, it was reported chief executive Ian Bickley had left his role effective immediately following the completion of the sale.
Bickley’s departure is followed by the retailer’s UK and Ireland managing director Maddie Smith, who is due to leave the company in April.
The Body Shop said: “Maddie Smith took the decision before Christmas to leave The Body Shop. This is not connected to today’s news about the sale agreement, which does not include the UK.
“Maddie will be at The Body Shop till the beginning of April, supporting the ongoing transformation and leadership transition.”
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