The Body Shop closes Thai stores but vows ‘we will be back’

 

The Body Shop will close all its branches in Thailand by January 31, according to a statement posted by the British skincare brand on Wednesday.

 

The Facebook statement thanked Thai customers and insisted the closures were only temporary.

 

"It's more of a 'hold tight, we will be back before you know it!'" the statement read.

 

However, the move follows operational struggles in other countries after the brand was acquired by German private equity firm Aurelius for US$266 million In November 2023. Four months later, The Body Shop announced the closure of its US operation and filed for Chapter 7 bankruptcy. Shortly after, it announced plans to close stores in Canada and initiated liquidation sales.

 

In Thailand, the brand expressed gratitude for the warm support received from customers over the years, citing a quote from its late founder, Dame Anita Roddick: "If you think you're too small to have an impact, try going to bed with a mosquito."

 

"Keep making the world a better place, and we'll be back soon to continue this journey together," the statement concluded, noting its final grand sales. 

 

In the UK, The Body Shop sank into administration in February last year, putting 2,000 jobs at risk. While operations in Thailand and other countries continued, the situation remained uncertain as the company underwent restructuring. The retailer was rescued from administration in September by a consortium led by British cosmetics tycoon Mike Jatania.
 

 

 

 

 

In December 2024, the new CEO of The Body Shop, Charles Denton, reassured staff that the struggling ethical beauty retailer was "back for good" after returning to profit in its first 100 days under new ownership. The company reported a $2.44 million profit on $34.16 million in sales during its first three months under new ownership, led by Jatania's Aurea Group.

 

The Body Shop now operates 113 stores in the UK, employing over 1,200 people. The headquarters will be relocated to Brighton this month from offices in London and Littlehampton, West Sussex – the base established by Roddick.

 

"I am so thrilled at how we are ending the year. Storm Darragh may have tried its worst, but we weathered it and some," Denton wrote in a pre-Christmas note to staff, according to The Guardian.

 

Denton, formerly the CEO of Molton Brown, revealed that the chain had exceeded internal sales forecasts by 17% the previous week, adding, "throw whatever you like at us, and we’ll come bouncing back … back for good and last month … back in profit baby!"

 

 

 

The Body Shop, which incurred a $86.52 million loss in the year ending December 2022, collapsed into administration in the UK less than three months after being acquired by Aurelius for $252.84 million. At the time, the company owed creditors over $336.48 million. Operations in the US, Germany, and Belgium were also shut down after these businesses were either sold or deprived of funding by the administration of the UK parent company.

 

The company, which once boasted 3,000 shops worldwide, continues to operate in 83 overseas markets with over 1,300 outlets. Most of these stores are operated by franchise partners, including approximately 700 in Europe, 60 in Canada, and nearly 100 in Australia, as well as in India, Malaysia, Indonesia, and South Korea.

 

Founded by Roddick in 1976, the company remained under family ownership for three decades before being sold to French cosmetics corporation L'Oréal, the owner of Maybelline and Garnier, for $794.64 million in 2006.

 

As The Body Shop's sales and profits declined, L'Oréal sold it to Brazil's Natura in 2017. However, Natura was compelled to sell the business in 2023 to address significant debts incurred through the acquisition of the beauty business Avon.