HIGH street beauty chain The Body Shop is about to sold in a deal worth £880m.

The ethical firm was founded in Brighton by the late Dame Anita Roddick and has a major distribution centre in Littlehampton.

Dame Roddick sold the company more than ten years ago to French cosmetics giant L'Oreal in a deal worth £652m.

She died at St Richard's Hospital in Chichester 2007 after suffering a major brain haemorrhage.

In recent years the Body Shop has suffered from increased competition from newcomers also offering products based on natural ingredients and no animal testing.

L'Oreal says it has now entered into "exclusive" talks to sell The Body Shop to Brazilian cosmetics manufacturer Natura Cosmeticos.

The company said it had received a "firm" offer from Natura to acquire the business.

The Body Shop was put up for sale in February and at the time, the company had said it was "exploring all strategic options" regarding its ownership of the firm.

L'Oreal chairman and chief executive, Jean-Paul Agon said: "I am very pleased to announce Natura as the potential new "home" for The Body Shop.

"It is the best new owner we could imagine to nurture the brand DNA around naturality and ethics.

"Natura will support The Body Shop development in the long-term and enable The Body Shop to best serve its customers while respecting its strong commitments towards its employees, franchisees and stakeholders.

"I would like to thank all The Body Shop employees and partners around the world for their contribution to the development of the brand over the past eleven years and I am confident they will be in the best hands for the future."

The Body Shop chief executive and chairman Jeremy Schwartz said the ethical values and expertise of Natura made it "the perfect new owner" of the chain.

He said he was confident the move would help to rejuvenate the brand and drive future expansion.

Natura fought off a number of other bidders for The Body Group, including private equity group CVC and China's Fosun.

The sale comes after The Body Shop has suffered sliding sales, with lacklustre performance in Saudi Arabia and Hong Kong continuing to dog the firm.

Sales at the brand sank five per cent to £784.2 million in 2016, down from £823.7 million in 2015.

However L'Oreal has said the firm's momentum was good in Europe and across Latin America.

Momentum was good" in Europe - especially in the UK - and across Latin America thanks to a new operation in Chile.