Oprah Winfrey is stepping down from her position on the board of WeightWatchers, concluding her nearly decade-long tenure as a director of the company, which has encountered sudden competition from Ozempic.
Earlier this week, Winfrey informed the company of her decision, stating that she will not seek re-election at its upcoming annual shareholder meeting in May. Although no reason was disclosed, a regulatory statement from WeightWatchers clarified that her decision was "not the result of any disagreement” or “any matter relating to the company’s operations, policies or practices.”
On a call with investors this week, Sima Sistani, CEO of WeightWatchers, expressed, “Oprah is an inspiring presence and passionate advocate both for our members and for society at large, in elevating the conversation around weight health. While I and the rest of our directors will certainly miss her in our board meetings following the end of her current term, she remains a strong strategic voice and collaborator with WeightWatchers.”
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Additionally, Winfrey has announced her intention to donate her significant stake in the company. In a statement, she revealed that she will be giving away all of her stock to the National Museum of African American History and Culture.
WeightWatchers shares (WW) experienced a sharp decline of up to 25% in premarket trading on Thursday and have fallen by nearly 70%. Winfrey's departure is occurring a year earlier than anticipated, as the media mogul had signed an extension in 2019 that was expected to last until 2025.
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“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,” Winfrey said in a statement.
Winfrey joined the board in 2015 and acquired a 10% stake, immediately bringing relevance to the struggling company as more individuals shifted towards easier dieting methods instead of points counting.
WeightWatchers has encountered heightened competition recently from GLP-1 prescription drugs like Ozempic and Wegovy, which are occasionally utilized for weight loss. In response, the company introduced a new membership plan tailored for individuals using these medications. This plan provides members with access to doctors who can prescribe these drugs, along with daily nutrition plans, assistance with insurance coordination, and other weight loss support programs.
Last year, WeightWatchers also sealed a deal worth over $100 million to acquire Sequence, a telehealth company that offers virtual prescriptions to patients for these weight loss drugs when deemed suitable.
In December, Winfrey revealed to People Magazine that she has incorporated a “weight-loss medication to her regimen” although she did not specify which drug.
