Upmarket grocery chain Planet Organic has appointed City advisors to explore a possible sale of the business.
According to reports from Sky News, the company is working with financial advisors Interpath on a review of its strategic options.
Planet Organic, which was founded in 1995 by Renee Elliot, currently trades from 13 stores, mostly in London, selling organic food and drink as well as healthcare and cosmetic products.
It has recently closed outlets on Torrington Place and in Wandsworth having been hit by lower footfall in city centres and a general slowdown caused by the pandemic.
This contributed to its losses widening from £2.5m in 2020 to £3.4m in 2021, and revenues fell almost 8% to £37.6m in the year to 28 August 2021.
A spokesperson for Planet Organic told Sky News: “We are working closely with our advisors to help us navigate options to secure further investment. This additional funding will enable us to support the next phase of our current growth plans.”
In November, chief executive George Dymond said he planned to open more non-London stores to reach wealthier households in the suburbs, aiming for a 50-store UK-wide estate by 2025.
To support this rollout, he said the business was aiming to secure a total of £25m from investors. Last month it raised almost £7 million in a Seeds crowdfunding campaign.
