Isagenix International has entered into a definitive Restructuring Support Agreement (RSA), transitioning majority ownership to key financial stakeholders. Through this agreement, company investors will take a controlling stake in the business, while the Coover family, who contributed $95 million of value through cash contributed and debt forgiveness, will maintain a minority stake.
Contribution from the Coovers and debt reduction from secured lenders will allow the company to eliminate approximately $130 million in debt and substantially improve its capital position.
“The plan we’ve outlined with our investors will establish a strong financial foundation for our company, enabling us to continue to do what we do best,” said Isagenix Chief Executive Officer Sharron Walsh. “The RSA clearly reflects the belief of our founders and secured lenders in Isagenix’s long term business plan. We are grateful to our talented, relentless team, both in the field and at the corporate office, which has continued to focus on guiding our community toward better health and improved wellbeing while these discussions were ongoing. We are excited to bring new financial firepower that we can invest in innovation, digital solutions, and overall wellbeing while operating with a sustainable capital structure.”
