Body Shop Gives Update On Future of 100 Remaining Stores

• Body Shop’s 100 branches up for auction following administration.
• Initial efforts to restructure through a CVA were unsuccessful.
• Seven stores closed immediately after the collapse.
• Administrators encouraged by interest from potential buyers.

The future of 100 Body Shop branches is uncertain as the chain has been put up for auction following its collapse into administration earlier this year. The company, which fell into administration on February 13, initially closed seven stores and has since been unable to execute a viable restructuring plan.

FRP Advisory, the firm handling the administration, announced that despite efforts to stabilize the business and engage stakeholders, a Company Voluntary Arrangement (CVA) could not be agreed upon. A CVA would have allowed the business to continue trading while negotiating its debts.

James Flanders at The Sun reported that an FRP spokesperson explained, "Following the appointment of joint administrators in February, efforts have been made to stabilize the business of TBSI and effect various restructuring initiatives. Despite engagement with various parties, it has not been possible to reach the necessary agreements for a CVA to be launched. Therefore, the joint administrators have decided to commence a sale process for the underlying business and assets of TBSI."

The spokesperson added that there has been significant interest from potential buyers, which offers a glimmer of hope for the brand's future.

The Body Shop’s collapse initially led to the closure of stores in key locations, with further details on closures expected as the sale process progresses. This development follows a series of retail challenges for the iconic high street brand.

Tom Church, Co-Founder of LatestDeals.co.uk, commented, "The Body Shop's situation highlights the ongoing difficulties faced by many high street retailers. While it's disheartening to see such an iconic brand in trouble, the interest from potential buyers suggests that there is still value in the business. Hopefully, this will lead to a positive outcome for the remaining stores and their employees."