ViSalus Shakeup at Blyth

Blyth, Inc. reports that it and the Founders and certain other preferred stockholders of its ViSalus network marketing subsidiary have reached an agreement in principle whereby the Founders and those other preferred stockholders will exchange their shares of Redeemable Convertible Preferred Stock of ViSalus for shares of ViSalus Common Stock. 

Presently, Blyth has an 80.9% ownership interest in ViSalus and ViSalus's Founders and its other preferred stockholders own the remaining 19.1%.  The exchange of ViSalus Redeemable Convertible Preferred Stock for ViSalus Common Stock will dilute Blyth's ownership of ViSalus to approximately 10% and increase the ownership interest of ViSalus's Founders and other stockholders to approximately 90%. 

In addition, the transaction will extinguish the obligation of ViSalus to redeem the ViSalus Redeemable Convertible Preferred Stock on Dec. 31, 2017 for an aggregate price of $143.2 million which obligation is presently guaranteed by Blyth.