Activist investor Barington Capital Group has built a fresh stake in Bath & Body Works and is urging the personal care and fragrance retailer to explore a sale, according to a report by Bloomberg. Barington believes changes are needed at the company, citing its market leadership, brand value, and cash flow as drivers of considerable interest, including from private equity buyers. Since Bath & Body Works separated from Victoria’s Secret and dropped the L Brands name in 2021, its shares have fallen roughly 78%, while net income has halved, per company reports and Bloomberg data.

Barington, which holds over one million shares, is also pressing for stock buybacks to support earnings and share price, and is weighing a push for board representation, with a letter to the board expected soon. CEO Daniel Heaf, who joined last year from Nike, has rolled out a “Consumer First Formula” targeting younger shoppers through digital expansion, Amazon sales, influencer partnerships, and revised promotions. Barington’s founder James Mitarotonda, who launched the firm in 2000, previously led a successful 2019 campaign against L Brands to spin off Victoria’s Secret and focus on Bath & Body Works.

He has since targeted retailers like Macy’s, Chico’s FAS, and Children’s Place, and pressed Victoria’s Secret last year before exiting after some of his recommendations were adopted. Bath & Body Works said it regularly engages with shareholders and values their input, adding that the board and management continue to evaluate ways to enhance shareholder value in the long-term interests of the business.