The Body Shop Canada announced that it will sell all its assets to a subsidiary of Serruya Private Equity Inc., according to court documents filed on December 6.

This subsidiary is managed by businessman Michael Serruya, the co-founder of the frozen yogurt chain Yogen Früz. Serruya Private Equity is known for its investments in multiple brands, such as St. Louis Bar and Grill, Second Cup Coffee Co., Swensen’s, and Yogurty’s.

The value of the deal was not disclosed in the court documents, but it includes a cash payment and carries some financial obligations of the company.

The Background of the Deal

An Ontario court approved the start of the sale process for The Body Shop Canada last July, after it faced significant financial pressure due to liquidity depletion by its parent company, which is a European private equity firm. This situation drove the company into debt, forcing it to close some of its stores.

The company stated that 12 parties expressed interest in purchasing the brand before reaching a final agreement with Serruya's company.

About Michael Serruya

Michael Serruya is a prominent Canadian investor known for expanding his businesses through successful investments in the food and beverage sectors and consumer brands.

This deal is expected to open a new chapter for The Body Shop Canada, with the potential to enhance its financial stability and expand its operations under the new management.