L’Oréal sells The Body Shop to Brazil’s Natura in $1.1 billion deal

L’Oréal said earlier this year it was reviewing its strategy for The Body Shop, which it bought for £652 million in 2006, and that the sale of the business had attracted a wide range of bidders.

French cosmetics and luxury goods group L’Oréal has started exclusive talks to sell its The Body Shop business to Brazilian make-up company Natura Cosmeticos in a possible €1 billion (£862 million) deal.

L’Oréal said earlier this year it was reviewing its strategy for The Body Shop, which it bought for £652 million in 2006, and that the sale of the business had attracted a wide range of bidders.

L’Oréal said on Friday it had received a firm offer from Natura Cosmeticos, and that the proposed deal put an enterprise value of €1 billion on the four decades old beauty brand, a pioneer in mass marketing of cosmetics made without animal testing and with natural ingredients.

Natura chief executive Joao Paulo Ferreira said that for his part, The Body Shop would fit in well with Natura’s similar businesses, such as its Aesop brand.

The Body Shop

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