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    Breaking News

    Nestlé Sells Jenny Craig in North America and Oceania

    Sale of the weight management business comes seven years after Nestlé spent $600 million to buy the company from two private equity firms.

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    11.07.13
    Nestlé has sold its weight management business Jenny Craig in North America and Oceania to a U.S.-based private equity group North Castle Partners. The Jenny Craig business in France is not part of the transaction.

    The new owners will take over the businesses and offer employment to Jenny Craig staff in North America and Oceania.

    North Castle Partners is a Connecticut-based private equity firm that invests in businesses that promote health, wellness and active living. Jenny Craig was founded in 1983 and offers consumers weight management programs tailored to their specific needs. It has been part of Nestlé Nutrition since 2006.

    The transaction is subject to customary closing conditions and the financial details will not be disclosed. Nestlé spent $600 million to buy the weight-loss company from two private equity firms seven years ago.

    According to Euromonitor International, the vast majority of Nestlé’s weight management sales occur in the U.S. and the company’s leading brand Stouffer’s ranks fourth in the country behind Diet Coke, Diet Pepsi and Yoplait. Packaged food positioned at weight management saw sales reach $31.4 billion in the U.S. in 2012. Stouffer’s share of weight management positioned ready meals has been in decline over the review period 2007-2012, Euromonitor said. 
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