Private equity giants Gordon Brothers and Alteri Investors are among those eyeing a possible rescue of The Body Shop’s stricken high street operations.
The Laura Ashley-owner, which is led by former Mothercare and Shop Direct boss Mark Newton-Jones, is understood to have submitted a rescue bid with administrators for what is left of the cosmetic chain, The Telegraph reported.
Newton-Jones previously had two stints as chief executive of the British nursery retailer, the second of which saw him shutter its store estate in 2020 after its collapse.
Rival private equity firm Alteri Investors is also among the small group of competing firms that have submitted offers in recent days.
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City sources said the Bensons for Beds owner and Modella Capital, which is part of private equity house R Capital, along with an existing franchise partner of The Body Shop’s operations in Asia, are also in the running.
The Body Shop collapsed into administration in February, just three months after private equity giant Aurelius agreed to a £207m deal to take control.
Administrators at FRP have since closed 75 of its worst-performing stores, resulting in around 489 job losses.
The new owner of The Body Shop UK will be taking on roughly 100 high street shops that have remained open, making it a serious bet on the viability of a struggling business.
Administrators previously blamed the retailer’s woes on “an extended period of financial challenges under past owners, coinciding with a difficult trading environment for the wider retail sector”.
The Body Shop’s businesses across most of Europe and parts of Asia were sold to a family office prior to its UK division declaring insolvency.
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