WW International, Inc. (NASDAQ: WW) (\u201cWeightWatchers,\u201d \u201cWW,\u201d or the \u201cCompany\u201d) has entered into a definitive agreement to acquire Weekend Health, Inc., d\/b\/a Sequence, a subscription telehealth platform offering access to healthcare providers specializing in chronic weight management. Sequence seamlessly integrates the patient and clinician experience for ongoing, clinical care and medication management while providing high-touch support in navigating the insurance approval process.<\/p>\n
Obesity is a complex, chronic condition, and, for some, prescription medications can be helpful in addressing the biological components of obesity. Medical experts recommend pairing these medications with a science-backed lifestyle modification program for long-term weight management and overall health.<\/p>\n
\u201cAs science advances rapidly, we know there is a significant opportunity to improve outcomes for those using medications. Clinical interventions require better education, access, care management, community and the integration of a complementary lifestyle program for best results. It is our responsibility, as the trusted leader in weight management, to support those interested in exploring if medications are right for them,\u201d said Sima Sistani, CEO of WeightWatchers.<\/p>\n
\u201cWeightWatchers\u2019 nutrition and behavior-change program can provide the support needed to help people build livable healthy habits for the long term and manage the dietary-induced side effects often felt while taking chronic weight management medications, such as glucagon-like peptide-1s (GLP-1s),\u201d said Dr. Gary Foster, PhD, Chief Scientific Officer of WeightWatchers. \u201cAs we build out our clinical weight management pathway, we will be learning and likely tailoring our\u00a0nutrition program for this distinct member journey. We know weight management isn\u2019t one-size-fits-all and clinical interventions are not medically or otherwise appropriate for everyone, which is why we remain committed to all pathways.\u201d<\/p>\n
Since its launch in late 2021, Sequence has quickly grown into an approximately $25 million annual revenue run-rate business serving approximately 24,000 members across the U.S. as of February 2023. Sequence has a highly efficient operating model and recently turned cash flow positive, while continuing to drive strong growth primarily through word of mouth.<\/p>\n
Sequence members have highlighted the benefits of its service, including support in navigating the insurance approval process and the quality care they receive from clinicians.<\/p>\n
\u201cPairing behavior change with medically appropriate clinical solutions is more powerful and more sustainable than clinical alone,\u201d said R\u00e9mi Cossart, CEO and Co-Founder of Sequence. \u201cWeightWatchers is the most studied and trusted behavior change program, and their customer-centric approach to livable, sustainable, science-backed weight management is unparalleled. I am thrilled to be joining the WeightWatchers team following the acquisition to scale Sequence\u2019s clinical weight management offering, in combination with\u00a0WeightWatchers\u2019 best-in-class behavior change program, to deliver a one-of-a-kind scientifically sound solution to comprehensive care.\u201d<\/p>\n
\u201cWith our science-backed lifestyle program and Sequence\u2019s tech platform \u2013 which puts complex, slow insurance processes on tech rails \u2013 this is an unmatched opportunity for us to create an integrated product offering. We want to ensure we have the best programs and experiences for everyone. Together, we will provide impactful, holistic solutions for people living with overweight or obesity,\u201d\u00a0said Sistani.<\/p>\n
Pursuant to the terms of the merger agreement, WW will acquire Sequence in a cash and equity transaction valued at $132 million, inclusive of a minimum of $26 million of Sequence\u2019s cash. The effective net purchase price is $106 million.<\/p>\n
The $132 million will be paid as follows:<\/p>\n
The transaction, which is subject to customary closing conditions, is expected to close during the second quarter of 2023.<\/p>\n
About WW International, Inc.<\/strong><\/p>\n For more information, contact:<\/strong>
WeightWatchers is a human-centric technology company powered by our proven, science-based, clinically effective weight loss and weight management program. For nearly six decades, we have inspired millions of people to adopt healthy habits for real life. We combine technology and community to help members reach and sustain their goals on our program.<\/p>\n
Media:
Kelsey Merkel
kelsey.merkel@ww.com<\/u><\/a><\/p>\n