After four decades in business, weight-loss brand Jenny Craig has filed for bankruptcy and will start shutting down its locations in the US and Canada.
According to NBC News, employees received an email on Tuesday, May 2 stating that the company will close “due to its inability to secure additional financing.” Jenny Craig had around 500 locations in the US and Canada and had over 1,000 employees, many of whom were laid off.
On its website, the company thanked its “loyal Jenny family,” stating, “It’s with a heavy heart, we’re announcing the close of our business. The last 40 years would not have been possible without you.”
In April, a spokesperson said that the company will be changing its business model to adapt to the demands of today’s consumers.
“Like many other companies, we’re currently transitioning from a brick-and-mortar retail business to a customer-friendly, e-commerce-driven model,” the representative said.
The company was founded by American entrepreneur Jenny Craig, who was in search of a sustainable weight-loss solution after the birth of her second child.
“In the early 1960s, Mrs. Craig started working at a local gym and saw firsthand that exercise alone doesn’t lead to long-term weight loss,” reads its site. “Her passion led to the opening of her own gym, and after years of success, in 1983, she and her late husband, Sid Craig, opened their first Jenny Craig Weight Loss Centre.”
The company, which also has locations in Australia and New Zealand, offers branded portioned meals and snacks in addition to providing clients with coaches.
View this post on Instagram
The brand became a household name due to TV commercials and celebrity endorsers such as actors Valerie Bertinelli, Seinfeld‘s Jason Alexander, and the late Kirstie Alley.
In 2019, the company was acquired for an undisclosed sum by global investment firm HIG Capital.
Daily Hive has reached out to Jenny Craig to learn more and will update this story accordingly.