L’Oreal is considering selling the Body Shop just over a decade after it bought the ethical cosmetics chain, according to the Financial Times.
Citing people familiar with the matter, the paper reported on Wednesday that L’Oreal had hired Lazard to review its options and that a sale was the most probable outcome.
Body Shop has struggled in recent years, in contrast to L’Oreal which has performed robustly. The latter is due to report its 2016 annual results on Thursday.
The Body Shop was founded in Brighton in 1976 by Dame Anita Roddick. It now has over 3,000 stores in 66 countries according to its website. It prides itself on using ethically sourced ingredients to create natural beauty products.
In November, L’Oreal posted stronger than expected results for the third quarter of the year, particularly helped by growth in its North American business, according to Reuters.
As well as the body shop, the company owns brand like Lancome creams, Viktor & Rolf fragrances, Yves Saint Laurent, Urban Decay and Armani.
The Financial Times reported that L’Oreal had declined to comment on the possibility of a sale of The Body Shop.
