Natura & Co is looking for a buyer for The Body Shop.
The Brazilian conglomerate said in a Monday securities filing that it was exploring strategic alternatives for The Body Shop, which could include “a potential sale of the business”.
Although it added: “There can be no assurance that this process will result in any transaction.”
The decision by the Avon owner follows a long period of declining sales for The Body Shop.
Earlier this month, Natura & Co revealed that The Body Shop’s net revenue for Q2 2023 dipped 12% at constant currency.
The prior quarter, meanwhile, saw net revenues for the company slide 9.4%.
The São Paulo-based parent firm also previously targeted The Body Shop for staff cuts.
In February, it slashed 25% of The Body Shop’s leadership team and 12% of its overall staff amid poor Q4 2022 financial results.
British activist and businesswoman Dame Anita Roddick founded the ethical beauty brand in Brighton, UK in 1976.
Natura & Co bought The Body Shop in 2017 in a deal which netted L’Oréal (the brand’s owner since 2006) US$1.1bn.
The Body Shop’s sale could be the second major divestment by Natura & Co this year.
The beauty giant in April sold Australian luxury brand Aesop to L’Oréal for $2.52bn.