Stocks of WW Global, often referred to as WeightWatchers, skyrocketed Tuesday after the corporate stated it deliberate to shop for Series, a telehealth platform that gives remedy for weight problems.
The inventory closed 79% upper on Tuesday. Its marketplace worth stood at greater than $488 million.
“It’s our accountability, because the depended on chief in weight control, to enhance the ones involved in exploring if drugs are proper for them,” WW CEO Sima Sistani stated in a Monday announcement.
Tuesday’s leap follows a 12 months of sagging efficiency for the inventory. Stocks of the corporate had been down 57% over the last 12 months because it struggled to pivot to wellness and transfer clear of weight reduction.
Sistani took over as leader government on the finish of February, guidance the corporate again towards weight reduction messaging.
The Series announcement comes as corporations around the weight reduction business glance to provide weight problems drugs as a pathway to consumers having a look to reduce weight.
The craze has ended in a scarcity in drugs like Ozempic, which can be recurrently prescribed for Sort 2 diabetes.