UK Tycoon Jatania Poised to Buy Body Shop Out of Administration

Aurea Holding, an funding agency that Jatania runs with former UBS Group AG banker Paul Raphael, is in unique talks to amass The Physique Store after beating rival bidders in an public sale course of, in accordance with the folks.

The consortium additionally consists of Charles Denton, who was beforehand chief govt officer of perfume and wonder manufacturers Molton Brown and Erno Laszlo, the folks mentioned. The brand new house owners plan to retain all of The Physique Store’s UK shops, in accordance with the folks, who requested to not be recognized as a result of the knowledge is non-public.

The Physique Store fell into administration in February, three months after non-public fairness agency Aurelius agreed to purchase the chain for £207 million ($266 million). Directors from FRP Advisory closed the retailer’s underperforming shops, resulting in a whole lot of job losses. FRP blamed the collapse on monetary challenges below its earlier house owners Natura & Co.

A consultant for the consortium declined to remark. A spokesperson for FRP couldn’t instantly be reached for remark.

The Physique Store’s worldwide enterprise in Europe and elements of Asia had been bought to a household workplace earlier than the UK arm declared insolvency. FRP has been working an public sale of the remaining enterprise, which incorporates about 100 retailers, after concluding that another restructuring was not viable.

The Physique Store was based in 1976 by animal rights activist Anita Roddick, starting with a small retailer in Brighton on England’s south coast. It turned fashionable for promoting cosmetics and hygiene merchandise that weren’t examined on animals, however the enterprise has struggled to compete with rivals and has been unprofitable for years.

Jatania constructed a fortune in cosmetics and bought Lornamead, the proprietor of personal-care manufacturers together with Lypsyl, to rival Li & Fung Ltd. for nearly $200 million in 2013. In current months, Jatania has been attempting to promote a Grade I-listed stately house he owns in Denham, Buckinghamshire which beforehand housed American banker J. P. Morgan.

–With help from Irene García Pérez, Sabah Meddings and Damian Shepherd.

This text was written by Dinesh Nair from Bloomberg and was legally licensed by the DiveMarketplace by Business Dive. Please direct all licensing inquiries to legal@industrydive.com.