Nestlé set to purchase diet firm Jenny Craig

Nestlé, the Swiss food giant, was planning to announce Monday that it had agreed to pay about $600 million for Jenny Craig, the weight-loss company that has had a surprise turnaround in recent years as a result of an irreverent advertising campaign chronicling the slimming waistline of Kirstie Alley, of "Cheers" and "Fat Actress" fame.

The deal is a bold gamble for Nestlé, which has never before ventured into the $50 billion weight loss industry but is betting that consumers, in search of health and vanity, will continue their age-old battle to lose weight through prepackaged meals and motivational workshops, especially as America is fighting an escalating obesity epidemic.