Jenny Craig’s Australian and New Zealand subsidiaries have appointed administrators after the collapse of the US parent.
The US arm of the business has entered Chapter 7 proceedings and filed for bankruptcy, unable to repay a loan.
The Australian and New Zealand companies subsequently appointed voluntary administrators Vaughan Strawbridge, Kate Warwick, and Joseph Hansell of FTI Consulting to restructure the business.
Strawbridge said it was “unfortunate” that an overseas parent company entering bankruptcy impacted the local business even though they operated independently from each other.
“We are working with the Australian and New Zealand leadership team to trade the businesses with a view to attracting new capital to restructure the companies.
“Interest has already been received and we will be working with those parties and stakeholders of the business to secure the ongoing business and provide clarity to its loyal and committed staff and customers as soon as possible.”
The administrators intend to continue to trade the Jenny Craig ANZ businesses while the restructuring continued.
