The Australian branch of the iconic weight loss company has gone under after administrators failed to find a buyer.
The Reserve Bank has warned that there could be even more pain for mortgage holders in the coming months, Prince Harry became the first British royal in more than 100 years to give evidence in court overnight and the PGA Tour and DP World Tour have merged with the Saudi-backed, LIV Golf – and have ended all litigation.
Voluntary administrators Vaughan Strawbridge, Kate Warwick and Joseph Hansell of FTI Consulting have recommended the company be placed into liquidation.
Jenny Craig will cease to exist in Australia, just weeks after its parent US company collapsed. Picture: Facebook/ Jenny Craig
The decision to liquidate the company comes after administrators sought to sell the business with the “intent of preserving as many jobs as possible and limiting the losses for creditors”.
Despite a bidding and sales process resulting in 15 interested parties and four non-binding indicative offers, no buyers were able to be secured.
“Despite best efforts, the Administrators were unable to find a buyer for the physical stores and employees of the Australian and New Zealand business,” the administrators said in a statement on Wednesday afternoon.
Despite a bidding and sales process resulting in 15 interested parties and four non-binding indicative offers, no buyers were able to be secured. Picture: Facebook/ Jenny Craig
“The Administrators have today advised all of the employees in Australia New Zealand that a sale of the business with the stores continuing to trade and staff continuing their employment hasn’t been achievable.”
Trading will cease immediately and employees will be made redundant, something the administrators described as “an unfortunate outcome”.
In May, Jenny Craig’s US and Canadian branches were closed as the company filed for bankrupcy.
The online services the business provides will be sold to Eucalyptus, a healthcare technology company, which will continue to offer online weight loss solutions to customers.
Eucalyptus is currently advertising at least 48 job openings on its website including health coaches, mental health nurses, nutritionists and general practitioners for weight consults.
The company describes itself as a “diverse group: of software engineers, creatives and operations experts who “who care deeply about patient experience, and simplifying the scary and complex world of healthcare”.
Featured prominently on Eucalyptus’ website is that it is “one of Australia’s fastest-growing startups”.
More to come.