Mike Jatania, a British tycoon, is close to completing a deal with The Body Shop as he continues his race to save the remaining high-street chain.
Mr Jatania, it is believed, is part of a group that has engaged in exclusive discussions with administrators who are overseeing The Body Shop.
Sources say that Charles Denton, the former chief executive of Molton Brown, and his investment firm Aurea Holdings are working together on this acquisition.
Exclusive talks are expected to continue for the next two weeks after the consortium defeated rival bidders during the auction process.
Bloomberg broke the news of this potential deal. This follows a surge of interest in The Body Shop.
Gordon Brothers and Alteri, who both specialize in purchasing distressed businesses, were also considered.
The high-street chain went into administration in late February after a failed takeover attempt by Aurelius. Aurelius had bought the company from Brazilian cosmetics firm Natura for a bargain £207m.
After its collapse, FRP decided to close 75 of The Body Shop’s worst-performing shops, leaving the company with about 100 high-street shops in total.
Mr Jatania has a successful track record in the cosmetics industry. In 2013, he sold Lypsyl, the manufacturer of the product, to Li & Fung. The price was almost $200m (£156m).
He has invested in a number of properties in the UK including Regent’s Crescent, London.
He sold his 12-bedroom Denham mansion last year in one of the largest-ever country home deals.
He said at the time that he thought an international buyer would snap up the property. Bloomberg reported: “In London’s central area, hedge fund managers like Ken Griffin have purchased properties. I am sure Americans will take a look.”
“There has been a lot more wealth created recently in the Middle East, and we are aware that families from there have a long tradition of owning London properties.”
Both FRP and consortium declined to comment.
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