Two months after the change of ownership, The Body Shop has filed for bankruptcy. Yesterday, the company announced the delicate situation it is going through in the UK, which is threatening the stability of up to 2,000 jobs.
The company has confirmed that its shops will remain open and will continue to operate as usual. The new administrators of the chain have declared that they are in the process of studying the options and that entering into insolvency proceedings helps to "provide stability, flexibility and security to find the best means to ensure the future", as the chain has indicated.
Aurelius, the German capital firm bought the chain for just over 243 million euros three months ago and has acknowledged that it has not been able to refloat the firm after the Christmas campaign. However, the insolvency administrators, as explained by the news agency Europa Press, have explained that "The Body Shop continues to be guided by its ambition to be a modern and dynamic beauty brand, necessary for its customers and able to compete in the long term" and that it is necessary to build a "stable and light" financial structure.
Just a month ago, the British cosmetics firm announced that The Body Shop's interim CEO, Ian Bickley, had made the decision to step down following a change of ownership. At the time, sources familiar with the matter said the move was due to a new direction the brand needed to take and a further step in deepening a solid long-term strategy.