San Francisco Frontiers - Nestle siphons off bottled water business into joint venture

Nestle said in a statement that it would transfer the business into a company called Peranel, which would be jointly owned by US investment firm Platinum Equity.

Peranel will span more than 30 brands in 120 countries.

"As an independent company focused exclusively on water and premium beverages, Peranel will have full flexibility to invest in its brands and pursue growth opportunities," the Swiss food giant said.

"By partnering with Platinum Equity, Peranel will be better positioned to execute its strategy with enhanced agility," said Nestle's chief executive Philipp Navratil.

"Through additional focus, it will be well equipped to drive its long-term growth ambitions by strengthening this unique portfolio of international and local brands, with continued investments in innovation, premiumisation, operational excellence and sustainability."

The transaction values Peranel at 4.9 billion euros, which will generate around three billion euros in cash proceeds for Nestle, the food giant said.

The joint venture will be based in Paris and headed by Muriel Lienau, currently head of Nestle Waters.

Nestle also published its earnings for the first six months of 2026.

In the period from January to June, the food giant -- which owns more than 2,000 brands, including Nespresso coffee pods and Maggi bouillon cubes -- generated sales of 43.1 billion Swiss francs ($52.9 billion), down 2.5 percent from a year earlier.

Net profit fell 31.4 percent to 3.5 billion francs, due to restructuring costs and asset write-downs on holdings earmarked for disposal, Nestle said.

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R.Moore--SFF