New York: The UK-based cosmetics firm, The Physique Store, shut down all of its US-based operations and can quickly be closing dozens of Canadian retailer places after submitting for chapter, CNN reported.
Earlier this month, The Physique Store, in an official launch, introduced that its US subsidiary was now not operational, efficient March 1.
It additional added that 33 of its 105 shops in Canada will start liquidation gross sales instantly and “on-line gross sales by way of Canada’s e-commerce retailer will cease,” however that every one Canadian places will stay open in the meanwhile, reported CNN.
In keeping with stories, excessive inflation lately has affected conventional retailers, notably these like The Physique Store, which predominantly operated out of malls and had been aimed on the center class.
The UK-based cosmetics firm, based in 1976 by human rights activist and environmental campaigner Anita Roddick, is understood for merchandise it markets as pure, sustainable, moral and cruelty-free.
It was one of many first corporations to ban testing on animals for a lot of of its merchandise, in keeping with CNN.
Later in 2019, it was licensed as a “B Corp,” a designation given to corporations that meet sure transparency and environmental conscientiousness requirements.
By 2023, it had expanded to greater than 2,500 retail places in over 80 international locations and was obtainable to buy on-line in additional than 60 markets.
Since its inception, The Physique Store has modified palms a number of occasions. It was bought by cosmetics large L’Oreal in 2006 for greater than a billion {dollars} and later bought to Brazilian firm Natura in 2017 for an additional billion {dollars}, reported CNN.
Nonetheless, the model fell into onerous occasions and has been ailing lately.
In an early 2023 report, Natura famous that The Physique Store was “(going through) headwinds,” with a year-over-year decline of 13.5 per cent in 2022, a 12 months the corporate stated “was removed from simple” for the model. Its direct-to-consumer channels, which had “benefitted throughout COVID-19,” returned to “extra normalized pre-pandemic ranges,” additional impacting gross sales numbers, Natura stated.
Furthermore, late final 12 months, The Physique Store was bought to asset administration group Aurelius for about USD 266 million, as reported by CNN.
