According to beauty news websites, L’Oréal has come out in denial of rumours that it is shopping for a buyer for The Body Shop brand. The rumours came about after Lush founder Mark Constantine was quoted saying he had information that the brand no longer fitted the company’s long-term strategy and was actively looking for a buyer. Lush tried to buy the brand from L’Oréal in 2001.
“It doesn’t fulfill L’Oréal’s profit profile,” said Constantine. “They always get rid of businesses that perform averagely. I don’t know what it will sell for, but it will certainly be for less than they paid.”
When the news first broke earlier this week, L’Oréal refused to comment but have come out saying that there is no truth to the rumour and, according to a company spokesperson: “In an interview with The Financial Times on 27 September 2012, Jean-Paul Agon, chairman and CEO of L’Oréal, explicitly denied any intention to sell and added that: ‘The Body Shop is a kind of treasure that we are very happy to have’.”