(CU)_ Nestlé SA has agreed to sell its bottled-water business in North America, to One Rock Capital Partners for $4.3 billion, following the private-equity firm’s partnership with Metropoulos & Co. Accordingly, the United States and Canada operations of Nestlé Waters, the world’s largest bottled water company, will be purchased by to One Rock, subject to customary closing conditions.
Although the sale involves well-known brands including Poland Spring and Deer Park, however, Nestlé’s international premium brands including Perrier, San Pellegrino and Acqua Panna are not part of the deal. The transaction is expected to be completed in the Spring.
Following the appointment of Mark Schneider as the chief executive officer in 2017, Nestlé has been revamping its portfolios and divesting assets, while turning away from snacks and focusing on faster-growing areas like coffee and pet food.
In June last year, the foodmaker announced its strategic review of the global water portfolio, which has struggled to recover sales amid a decline in out-of-home dining during the pandemic.
Moreover, amid pressure from investors demanding higher profit, Schneider has moved the company away from convenience foods and invested in a plant-based push, which included the launching of the first vegan KitKat.
Based in Stamford, Connecticut, Nestlé Waters North America has approximately 7,000 associates in the United States and more than 230 in Canada. With more than 18,000 acres of natural watershed area, the company currently sources water for six regional spring water brands from 38 active springs throughout the United States.
“Nestlé Waters North America’s iconic brands have earned the trust and preference of consumers everywhere due to an uncompromising commitment to quality,” Tony W. Lee, Managing Partner of One Rock, said. “We are excited to further this commitment and build upon the market leadership of the business alongside the Company’s talented management team.”
