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Chinese group Renhe Pharmacy reportedly interested in The Body Shop

Translated by
Nicola Mira
Published
Jun 1, 2017
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The sale of The Body Shop is an endless source of rumours and speculation. According to Sky News, Chinese group Renhe Pharmacy may bid for the British cosmetics chain, recently put up for sale by the L’Oréal group. Renhe was founded in 2001 and, according to its website, has a workforce of 6,000 and operates 13 industrial plants for the production of drugs and healthcare products.


The Body Shop sales dropped nearly 5% in 2016 - DR


But the Chinese group isn't the only potential buyer on the horizon. A bid was recently put forward by Italian investment fund Investindustrial, while Brazilian group Natura, owner of Aesop, is also holding talks with L’Oréal. CVC Capital, Advent International and South Korean group CJ Corp are also reportedly in the running for the acquisition of the natural ingredients cosmetics label. A month ago, Bloomberg claimed that the latest offers for The Body Shop were in excess of €800 million.

In the 2016 fiscal year, The Body Shop, which operates approximately 3,000 stores worldwide, generated a revenue of €920.8 million, down 4.8% over the previous year. A sizeable downturn for the retailer bought in 2006 by L’Oréal for GBP652 million (€945 million), bucking the performance trend of the world beauty giant.
 

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