Oprah Takes £28m Bite Out Of Weight Watchers

Oprah Winfrey helped Weight Watchers shares double after it announced a new tie-up which will see her take a major stake in the US business.

The TV presenter and businesswoman, worth $3bn (£1.9bn) according to Forbes, will buy 10% of the stock for $43m (£28m) and receive options to buy an additional 5% chunk.

The share price doubled in pre-market trading, reversing a slump of more than 70% in the stock value over the previous 12 months.

Weight Watchers has been hit by dwindling subscriber numbers and the rise of weight management apps and fitness wristbands.

Oprah, who has previously spoken about her own battles to lose weight, said: "Weight Watchers has given me the tools to begin to make the lasting shift that I and so many of us who are struggling with weight have longed for.

"I believe in the programme so much I decided to invest in the company and partner in its evolution."

Weight Watchers said the TV presenter would be joining the board of directors and "bringing her insight to future products and programmes".

Chief executive Jim Chambers said the business was changing focus from weight loss alone to "more broadly helping people lead a healthier, happier life".

Chairman Ray Debbane said: “Weight Watchers and Oprah Winfrey make a powerful combination."

Weight Watchers describes itself as the world’s leading commercial provider of weight management services, operating through company-owned and franchised operations. It (Other OTC: ITGL - news) holds more than 36,000 support meetings for members each week.

It also operates online and sells food products including low-calorie cakes, which in the UK are made by bakery group Finsbury Food (LSE: FIF.L - news) .