The co-founders of ViSalus will lead a management buyout of the weight-loss and fitness brand, according to a disclosed agreement with parent company Blyth Inc. Following Tuesday evening’s announcement, shares in Blyth jumped during pre-open trade and rose 36 percent on Wednesday to close at $9.07 per share.
Blyth first invested in ViSalus in August 2008, when it acquired a 43.6 percent stake in the company. Blyth currently holds an 80.9 percent ownership interest, while ViSalus’ co-founders and other preferred stockholders own the remaining 19.1 percent. In the announced transaction all preferred stockholders will exchange their shares for ViSalus common stock, relieving Blyth of its $143 million guarantee of the preferred stock.
ViSalus will revert to private ownership under co-founders Ryan Blair, Blake Mallen and Nick Sarnicola, as well as ViSalus employees and early stockholders, who will take on a 90 percent stake in the company. Blyth will remain an equity holder with 10 percent of ViSalus common stock.
“The co-founders and I are very excited to go ‘all in’ on a business that we started and the future prospects of which we believe in wholeheartedly. I am also personally grateful to the Goergens and to Blyth for nearly 10 years of mentoring and support,” ViSalus CEO Ryan Blair shared in a statement.
According to a recent announcement, ViSalus’ future prospects include an extensive leadership development program. The company has partnered with leadership expert, speaker and best-selling author John C. Maxwell to launch its Leadership & Influence Development (LID) program.
“I have had the opportunity to mentor ViSalus’ three founders, who each have unparalleled creativity, intelligence and leadership potential,” said Maxwell on the new collaboration. “It’s been a real joy to be able to pour my life into the Vi founders, whom I often affectionately refer to as the Three Musketeers.”
The LID program will develop top ViSalus Promoters through skills training and mentoring. The inaugural LID group, which will work directly with Maxwell and the founders over the course of a year, held its first of three annual meetings in Atlanta this June.
