WeightWatchers witnesses a significant setback as its shares plunge by 25% following the announcement of Oprah Winfrey’s departure from the board. Since 2015, Winfrey has been an integral part of the company’s board of directors. The decision not to seek reelection at the upcoming annual meeting of shareholders in May has prompted a substantial drop in premarket trading on Thursday.
Confirming Winfrey’s departure, the company released a statement acknowledging her five-year tenure on the board. Additionally, Winfrey revealed her intention to donate her financial stake in WeightWatchers to the National Museum of African American History and Culture in Washington, D.C.
“I look forward to continuing to advise and collaborate with WeightWatchers and CEO Sima Sistani in elevating the conversation around recognizing obesity as a chronic condition, working to reduce stigma, and advocating for health equity,” said Oprah Winfrey.
The news of Winfrey’s departure comes amidst the company’s latest financial report for the fourth quarter and full-year 2023, revealing a total loss of $88.1 million. This figure starkly contrasts with the previous year’s loss of $35.8 million during the same period. With a stake of approximately 10%, Winfrey stands as one of the company’s most significant shareholders.
“Weight Health is a critically important topic and one that needs to be addressed at a broader scale. I plan to participate in a number of public forums and events where I will be a vocal advocate in advancing this conversation,” continued Winfrey. “In addition, I have decided to donate my interest in WeightWatchers to the National Museum of African American History and Culture (NMAAHC). I have been a long-time supporter of this worthy organization, and I am proud to continue my support
The departure of Winfrey from WeightWatchers’ board poses a substantial challenge for the company, considering her influential role and substantial investment. As shareholders grapple with this development, WeightWatchers faces the task of charting a new course forward in the wake of Winfrey’s exit.
“Oprah has been an inspiring presence and passionate advocate for our members, providing critical insights and counsel that has helped shape WeightWatchers over these last 8 years. On behalf of the Board, I would like to thank her for her energy, dedication, and for continuing to play a role as collaborator and thought partner going forward. What I know for sure, we will dearly miss her presence on the Board,” said Thilo Semmelbauer, chairman of the board.