The Body Shop begins bankruptcy plan after years of financial difficulties

LONDON (AP) — The Body Shop, a British beauty and cosmetics retailer, said Tuesday it has appointed insolvency administrators after years of financial difficulties.

The company, which has grown from one store in 1976 to become one of the world’s most established retailers with hundreds of stores in the UK and beyond, is renowned as an early champion of ethical business practices.

FRP, the administrators hired by The Body Shop, said they would “now consider all options to find a way to move the business forward.”

“Under its previous owners, The Body Shop faced a long period of financial difficulties, which coincided with a challenging trading environment for the wider retail sector,” FRP said.

A few weeks ago, Aurelius, a European private equity firm that specializes in buying and restructuring distressed companies, took control of the business.

The soaps, creams and cosmetics retailer was founded in 1976 by Anita Roddick and her husband as one of the first companies to promote ethical consumption, focusing on fair trade principles and skincare products that were not tested on animals.

An environmental and human rights activist and businesswoman, Roddick was hailed as a “Green Queen” because she put corporate social responsibility and environmental protection at the forefront of her business long before it became fashionable.

The brand became very popular in the 1980s when it was listed on the London Stock Exchange and had stores in approximately 80 countries.

Roddick and her husband sold The Body Shop to beauty giant L’Oreal in 2006. . At the time of acquisition, the company employed approximately 7,000 people worldwide.

At the time, Aurelius expressed optimism that he would be able to revive the iconic British brand “despite challenging retail market conditions.”

The chain will continue to operate, but news that it has entered into insolvency administration is likely to put hundreds of jobs at risk.