11.14.05
CANADA: Body Shop Canada has been approached by a third party regarding divesting its franchise network, said Barry Waite, a spokesman for the company.
“It’s very preliminary,” Mr. Waite cautioned. “This is not the first time it’s been approached by a third party.” The name of the prospective buyer was not disclosed.
Under pressure from rivals such as Shoppers Drug Mart Corp., Wal-Mart Canada Corp., Costco Wholesale Canada Ltd. and Loblaw Cos. Ltd. that also sell natural products, the owners of the privately-held franchise system have wanted to sell Body Shop Canada for years, sources said.
However, the Canadian stores ring up sales of about $140 million annually and have “held up pretty steady,” said retail consultant Ed Strapagiel, Kubas Consultants, Toronto.
“It’s very preliminary,” Mr. Waite cautioned. “This is not the first time it’s been approached by a third party.” The name of the prospective buyer was not disclosed.
Under pressure from rivals such as Shoppers Drug Mart Corp., Wal-Mart Canada Corp., Costco Wholesale Canada Ltd. and Loblaw Cos. Ltd. that also sell natural products, the owners of the privately-held franchise system have wanted to sell Body Shop Canada for years, sources said.
However, the Canadian stores ring up sales of about $140 million annually and have “held up pretty steady,” said retail consultant Ed Strapagiel, Kubas Consultants, Toronto.