Global weight loss company Jenny Craig 'on brink of closure' in the US

Popular weight reduction and diet business Jenny Craig is closing operations within the United States after 40 years, native media reviews.

In an electronic mail despatched to staff on Tuesday (Wednesday AEDT), the corporate mentioned it’s going to shut “due to its inability to secure additional financing,” reviews NBC.

The firm has about 1000 informal and company employees within the US.

The US business of weight reduction large Jenny Craig is making ready for mass job layoffs, reviews say. (CNN)

Jenny Craig has been looking for a purchaser because it ran out of cash, Bloomberg Law reported final month.

Two present Jenny Craig company staff mentioned they have been involved the corporate will file for chapter by the tip of this week.

Founded in 1983, Jenny Craig’s weight reduction applications designed by cooks and nutritionists grew to turn into a profitable world model, together with in Australia, the place former Spice Girls star Mel B was a model ambassador.

Celebrities, together with actors Kirstie Alley, Jason Alexander and singer-songwriter Mariah Carey, have been recruited to advertise the corporate.

But Jenny Craig – which operates largely on face-to-face buyer interactions – has been impacted by a progress in on-line rivals and the recognition of weight-loss medication resembling Wegovy, Rybelsus and Ozempic.

Jenny Craig’s dietary and diet business grew over 40 years to turn into a worldwide model. (Getty Images/iStockphoto)

Last week amid reviews about potential job cuts, a Jenny Craig spokesperson mentioned that the corporate was “currently transitioning from a brick-and-mortar retail business to a customer-friendly, e-commerce driven model.”

The spokesperson mentioned they would supply extra particulars in coming weeks.

Jenny Craig in Australia has been contacted by 9News.com.au for remark.