Natura Explores Sale Options for Struggling Cosmetic Chain

  • Elliott Advisors, owner of Waterstones, joins bidders for The Body Shop
  • Natura exploring ‘strategic alternatives’ for the business after poor pandemic performance
  • Sale expected to be valued at £405m
  • Sales process proceeding at pace with potential agreement by end of next month

The owner of Waterstones, Elliott Advisors, has entered the race to acquire The Body Shop after it was put up for sale by its parent company Natura. Sky News reported that Elliott Advisors submitted an indicative bid for the cosmetic chain in recent weeks. However, it remains unclear whether they are still in the running for the acquisition. Natura has owned The Body Shop since 2017 and decided to initiate a sales process due to its poor performance during the pandemic. Last month, JP Morgan analysts predicted that a sale was the most likely outcome, valuing the business at £405 million. This week, city sources revealed that the sales process is moving quickly, with Natura aiming to reach a provisional agreement by the end of next month.

Factuality Level: 8
Factuality Justification: The article provides accurate and objective information about the potential acquisition of The Body Shop by Elliott Advisors, including relevant details such as the reason for the sale (poor post-pandemic performance) and the timeline for reaching a provisional agreement. However, it lacks some specifics on the valuation of the business and the other bidders involved.
Noise Level: 3
Noise Justification: The article provides relevant information about The Body Shop being put up for sale and potential bidders, but lacks in-depth analysis or exploration of long-term trends or consequences. It also does not offer actionable insights or new knowledge.
Financial Relevance: Yes
Financial Markets Impacted: The Body Shop and its owner Natura
Financial Rating Justification: This article discusses the potential acquisition of The Body Shop by Elliott Advisors, which impacts the financial situation of both companies involved.
Presence Of Extreme Event: No
Nature Of Extreme Event: No
Impact Rating Of The Extreme Event: No
Extreme Rating Justification: There is no mention of an extreme event in the text.

Reported publicly: www.retailsector.co.uk