The transaction is designed to eliminate $1.15 billion in debt, which the company says will reposition it for "long-term growth and success," and that the fiscal changes WeightWatchers can "execute its transformation plan, which includes innovating its digital and member experience and accelerating the expansion of its telehealth business."

The company, which has shaped how millions eat and exercise, is trying to reduce its debt as it expands its telehealth business.

Iconic weight management brand WeightWatchers filed for bankruptcy Tuesday to shed debt while the company tries to expand its tele-health business.