Sussex-based cosmetics giant The Body Shop is in talks to be taken over, it said today.

The firm, which earlier this year saw its £290 million takeover talks with Mexican firm Omnilife abandoned, said it was in preliminary discussions with "a number of interested parties".

The announcement follows speculation that founder Anita Roddick and her husband Gordon, who together own about a quarter of the firm, were preparing to sell out.

Possible buyers have been tipped to include private equity house Schroder Ventures.

The confirmation of talks comes two weeks after Body Shop revealed it had received unsolicited interest from a number of third parties, although it said at that time it was not in takeover discussions with anyone.

Today's announcement came as Body Shop showed profits over the last half-year had dived.

Pre-tax profits for the 26 weeks to September 1 fell to £2.6 million, from £6.8 million last time, while turnover rose 5 per cent to £167.1 million.

Body Shop, which produces environmentally friendly cosmetics and toiletries, has its headquarters at Watersmead in Littlehampton.

It was started by Ms Roddick at a shop in Brighton in 1976 and grew to a chain of 1,800 stores worldwide, including 315 in the UK.