08.29.23
Brazilian cosmetics maker Natura &Co’s board of directors has authorized the company to search for "strategic alternatives" for its subsidiary The Body Shop, including a potential sale of the business, reports Reuters.
“There can be no assurance that this process will result in any transaction,” the filing said. “Natura does not intend to comment on or provide updates regarding this matter unless and until it determines that further disclosure is appropriate or required based on the then-current facts and circumstances.”
The move comes after the company agreed to sell its luxury brand Aesop to L'Oreal at an enterprise value of $2.53 billion in April.
Now, under the leadership of new CEO Fabio Barbosa, the company has switched gears—deleveraging in a bid to bring back profitability.
This news also comes months after The Body Shop announced a major leadership change: David Boynton stepped down as Chief Executive, and Ian Bickley, a Natura &Co Board Director, took the helm as interim CEO.
“There can be no assurance that this process will result in any transaction,” the filing said. “Natura does not intend to comment on or provide updates regarding this matter unless and until it determines that further disclosure is appropriate or required based on the then-current facts and circumstances.”
The move comes after the company agreed to sell its luxury brand Aesop to L'Oreal at an enterprise value of $2.53 billion in April.
A Shift in Strategy
In previous years, Natura rapidly grew through high-profile acquisitions, including the purchase of The Body Shop from L'Oreal in 2017. However, it has struggled with profitability since, posting six consecutive quarters of losses.Now, under the leadership of new CEO Fabio Barbosa, the company has switched gears—deleveraging in a bid to bring back profitability.
This news also comes months after The Body Shop announced a major leadership change: David Boynton stepped down as Chief Executive, and Ian Bickley, a Natura &Co Board Director, took the helm as interim CEO.
