Nestlé has sold its vitamins, minerals and supplements (VMS) business, Holistic Health, to private equity firm Yellow Wood for $1.4 billion (US$1 billion).
The world’s largest food and beverage company called the deal “another important step” in its transformation.
“We are focusing our resources where we have the strongest competitive advantage,” Nestlé CEO Philipp Navrati said. “The category has evolved, and the mainstream VMS business requires a different approach under dedicated ownership.”
Nestlé’s Holistic Health business includes the brands Nature’s Bounty, Nuun and Gard.
The Boston-based Yellow Wood said that Holistic Health’s “excellent platform” has the potential for sustained growth.
“Operating Holistic Health as a standalone entity will provide the opportunity to leverage the power of each brand to accelerate growth, enhance innovation and strengthen their market positions with consumers and retail partners,” added Dana Schmaltz, partner at Yellow Wood.
“We have developed an excellent relationship with the team at Nestlé and look forward to ensuring a smooth transition over the coming months as we close the transaction.”
It is the sixth major acquisition that Yellow Wood has completed from consumer goods giants. Previous deals have been struck with Unilever, Bayer and Haleon.
The deal is expected to close in the first half of 2027.