WeightWatchers, the renowned American diet meal company, has filed for bankruptcy protection in a Delaware court to reduce its debt by approximately $1.15 billion (€1 billion).
In recent months, WeightWatchers has faced increasing difficulty in selling its points-based diet programme due to the rising popularity of anti-obesity medications, including GLP-1 analogues such as Ozempic, Wegovy, Mounjaro, and Zepbound.
As a result, a pre-arranged bankruptcy filing was submitted on Monday in a Delaware court. This process, which involves negotiation between the company and its creditors over a reorganisation plan prior to the bankruptcy filing, is expected to last 45 days. According to WeightWatchers, the plan, which reportedly has creditor support, aims to reduce the debt by €1 billion. Annual interest charges would decrease by approximately $50 million (€44.2 million), and credit deadlines would be extended.
In the first quarter of 2025, WeightWatchers reported a revenue of $186.6 million (€164.9 million), marking a 10% year-on-year decline. The company also suffered a loss of $72.6 million (€64.2 million). Additionally, the number of subscribers to its programme fell by 14.2%, equating to a decrease of 3.43 million subscribers over the year.
The American company was long owned by Belgian billionaire Eric Wittouck, who, according to the derijkstebelgen.be website, is the wealthiest person in Belgium. Wittouck owned WeightWatchers through his Luxembourg-based holding company, Artal, which purchased it from ketchup manufacturer Heinz in 1999. Artal took WeightWatchers public two years later but sold its shares in 2018 and no longer holds a stake as of 2023.
