The Body Shop company Grupo Milenio enters bankruptcy in the UK

Body ShoplA chain of stores Customized products Natural cosmeticsentered bankruptcy, putting about 2,000 jobs at risk.

However, the stores will remain open as always while creditors try to save the company, which the businesswoman set up in the 1970s. Anita RoddickWho opened his first commercial project in the city Brightonin the south England.

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What is bankruptcy?

In fact, bankruptcy proceedings are a procedure designed to mitigate the harmful effects of insolvency. To do this, the bankrupt's finances are organized in such a way that the creditors can collect as much money as possible. This is done through an agreement between the debtor and his creditors. Source: (BBVA)

Administrators -FRP- They noted that all options would be considered and that entering bankruptcy proceedings “provides stability, flexibility and security to find the best means to ensure the future” of the chain.

“Officials will now consider all options to find a way out for business and will inform creditors and employees in a timely manner,” FRP added.

“After taking rapid measures over the past month, including a closure The Body Shop at home Most of his works are sold Europe And parts of Asia,Focus on business United kingdom It is the next important step in restructuring Body Shop“, FRP noted.

Body Shop It remains guided by its ambition to be a modern and dynamic beauty brand, relevant to customers and competitive in the long term. “Creating a more resilient and financially stable UK business is an important step towards achieving this.”

Today's announcement came weeks after new owners, European private equity firm Aurelius,control of the business.

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The Body Shop – Which Roddick It was originally sold in 2006 to Real– It faced a long period of financial challenges, coinciding with a difficult business environment for the retail sector.

The success of the series – it began in 1976– turned it into a global brand, a leader in ethical trade and a stance against cosmetics testing on animals.

Officials are expected to try to sharply cut costs, including real estate and rent costs, which could lead to job cuts.

MRA

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