Jenny Craig to stop buying and selling, workers made redundant


Weight reduction large Jenny Craig will instantly stop buying and selling from shops throughout Australia with workers to be made redundant after the corporate did not promote its Australian and New Zealand operations of the model.

FTI Consulting took the reins of the load administration service’s Australian and New Zealand operations final month after they slipped into voluntary administration.

Days earlier than, the Melbourne-founded enterprise filed for chapter within the US.

Directors Vaughan Strawbridge, Kate Warwick and Joseph Hansell sought to promote the operations “with the intent of preserving as many roles as attainable” and limiting losses for collectors by looking for affords from bidders.

“Regardless of greatest efforts, the directors had been unable to discover a purchaser for the bodily shops and workers of the Australian and New Zealand enterprise,” stated a press release issued by FTI Consulting on Wednesday.

Directors suggested all workers in Australia and New Zealand {that a} sale of the enterprise, with the 91 shops persevering with to commerce and workers persevering with their employment, was not achievable.

“This has resulted in a choice to instantly stop buying and selling from shops and workers being made redundant,” the assertion added.

FTI Consulting described the choice as an “unlucky end result” and one which the directors “had sought to keep away from”.

There have been reportedly 15 events concerned within the bidding course of, 4 of which submitted non-binding indicative affords.

Final month Mr Strawbridge stated the model’s administration group had been working to discover a new proprietor and a lot of events had been “involved in taking the companies ahead”.

Jenny Craig was based in Melbourne in 1983 and grew to change into a family title as one of many greatest weight administration firms on this planet.

It has about 600 centres globally with greater than 500 places in North America.

Jenny Craig’s major companies encompass one-on-one personalised help with vitamin and life-style planning.

Varied celebrities have featured as ambassadors over time together with singer Mariah Carey and former Spice Woman Melanie Brown, referred to as Mel B.

Regionally, comic Magda Szubanski and the late Barry Humphries and his alter ego Dame Edna Everage had been additionally ambassadors.

Non-public fairness funding agency HIG Capital purchased Jenny Craig in 2019 for an undisclosed sum.

The subsequent assembly of collectors for the Australian and New Zealand firms of the Jenny Craig Group can be held on June 14.

Directors have advisable the firms be positioned into liquidation however agreed to promote the net functionality of the enterprise to Eucalyptus, a healthcare expertise firm, which is able to proceed to supply on-line weight reduction options to clients.