Hotline: 1800 102 2007
X
Search Business Opportunities
Mar, 22 2017

​The Body Shop soon to jump out of L'Oreal's basket

Last year The Body Shop, which has more than 3,000 stores across the world, saw its operating profit fall to 33.8 million euros from 54.8 million euros in 2015 while its revenues dropped to 920.8 million euros in 2016 from 967.2 million in 2015.

L'Oreal's sale of British retailer The Body Shop has drawn interest from a series of private equity investors who are lining up indicative bids ahead of a mid-April deadline, sources revealed.

Bain Capital, BC Partners, CVC and Advent are among those planning to make an offer for the business which prides itself on offering "naturally-inspired products," the sources said.

Other heavyweight buyout funds including KKR, CD&R and PAI Partners are also currently exploring a possible bid for the maker of beauty products such as Body Butter and white musk perfumes.

Last year The Body Shop, which has more than 3,000 stores across the world, saw its operating profit fall to 33.8 million euros from 54.8 million euros in 2015 while its revenues dropped to 920.8 million euros in 2016 from 967.2 million in 2015.

Most industry players have snubbed the auction, led by investment bank Lazard, the sources said, while Chinese investors have signaled interest in making an offer for the business which has yet to crack the Chinese market.

But several decades later, that unique positioning has become commonplace with a raft of competitors including Lush and Origins. The Body Shop, which employs more than 22,000 people in over 60 countries, has struggled to grow, prompting L'Oreal's decision to sell it.

Private equity funds are best placed to revamp its brand and boost global growth, but they are wary about how much to pay, saying turnaround work is required, the sources said.

Comment
image
Related opportunities
  • About Us: The Arvind Limited Legacy Since 1931, Arvind has been the..
    Locations looking for expansion Gujarat
    Establishment year 2010
    Franchising Launch Date 2010
    Investment size
    Space required 700
    Franchise Outlets -NA-
    Franchise Type MultiUnit
    Headquater Kalol Gujarat
  • Quick Service Restaurants
    About Us: Legends of Punjab serves exclusive North Indian food in..
    Locations looking for expansion Gujarat
    Establishment year 2012
    Franchising Launch Date 2018
    Investment size Rs. 50lac - 1 Cr.
    Space required 3000
    Franchise Outlets -NA-
    Franchise Type Unit
    Headquater Ahmedabad Gujarat
  • About Us: PIND BALLUCHI is known across the country for its..
    Locations looking for expansion Delhi
    Establishment year 1992
    Franchising Launch Date 2018
    Investment size Rs. 1 Cr. - 2 Cr
    Space required 400
    Franchise Outlets -NA-
    Franchise Type Unit
    Headquater del Delhi
  • Security Services
    About Us: A GPS tracking unit is a device that uses..
    Locations looking for expansion Delhi
    Establishment year 2016
    Franchising Launch Date 2018
    Investment size Rs. 50 K - 2lac
    Space required 250
    Franchise Outlets -NA-
    Franchise Type Unit
    Headquater New delhi Delhi
Insta-Subscribe to
The Franchising World
Magazine
For hassle free instant subscription, just give your number and email id and our customer care agent will get in touch with you
OR Click here to Subscribe Online
Daily Updates
Submit your email address to receive the latest updates on news & host of opportunities