Natura announced in August that its board of directors had authorized it to search for "strategic alternatives" for The Body Shop, including a potential sale of the business, six years after buying it from L'Oreal.
The move came after the Brazilian company earlier this year also sold its luxury brand Aesop to L'Oreal at an enterprise value of $2.53 billion, part of a broader organizational shakeup that also saw a CEO swap last year.
"The terms and conditions of the potential sale are under negotiation and there is no assurance the transaction will be completed," Natura said in a securities filing about the talks with Aurelius.
Reuters reported on Sunday, citing a source, that Aurelius was in talks to buy the beauty products chain from Natura.
If completed, the deal is expected to value The Body Shop at a lower price than the 400 million pounds-500 million pounds ($485.20 million-$606.50 million) suggested in some media reports, according to that source.
(Reporting by Gabriel Araujo; Editing by Steven Grattan)
