A deal to buy The Body Shop has come closer to being agreed, the administrators have announced.
The high street cosmetics chain went into administration in February with the closure of 75 shops and the loss of 489 jobs.
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But a team managed by former Molton Brown chief executive Charles Denton is now officially lined up to complete a rescue takeover deal as administrators said they agreed to an “exclusivity agreement” after “a competitive bidding process”.
The agreement has been entered into by a consortium led by investment platform Aurea group.
Aurea itself is led by British millionaire Mike Jatania as well as a former senior executive at Swiss investment bank UBS.
It represents “the best outcome for creditors”, a statement from auditors said, “and will ultimately ensure the long-term success of The Body Shop” due to the experience of the group.
What next?
While the deal has not yet taken place, administrators said they want to complete the transaction “in the coming weeks”.
Due diligence checks will now take place, they added.
Read more:
What went wrong for The Body Shop?
Speculation had been rising over the future of the business.
Next was revealed by Sky News to have approached administrators to purchase part of the chain as were plans to launch a company voluntary arrangement (CVA) in which The Body Shop would enter talks with creditors.
The administrators had been encouraged by the level of interest in The Body Shop from potential bidders.
The Body Shop was founded by the late Dame Anita Roddick and her husband Gordon nearly 50 years ago.
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