Nestlé acquires core brands of The Bountiful Company

Nestlé has signed an agreement with global investment firm KKR to acquire the core brands of The Bountiful Company, a market-leading US-based producer of nutritional supplements and vitamins. The US $5.75 billion transaction includes the brands Nature’s Bounty, Solgar, Osteo Bi-Flex and Puritan’s Pride, which will be integrated into Nestlé Health Science.

The sports sector brands are not included in the agreement.

“Vitamins and supplements are a key part of our business and have contributed to strong growth acceleration,” said Nestlé Health Science CEO Greg Behar. “This acquisition complements our existing health and nutrition portfolio and will establish Nestlé Health Science as the industry leader in retail, e-commerce and direct-to-consumer in the US.”

Net sales of the acquired brands were US $1.87 billion in the last twelve months with an EBITDA of 18.3%.

The deal follows the announcement of the Q1 2021 results. The multinational reported revenues up 1.3% to CHF 21.1 billion, driven in particular by coffee sales. Organic growth, net of exchange rate effects, acquisitions and divestitures, was 7.7%.

The transaction is expected to close in the second half of 2021.