US investment company KKR has announced that Nestlé is set to acquire global nutrition brand The Bountiful Company for $5.75 billion.
The sale will see The Bountiful Company’s VMS line – Nature’s Bounty, Puritan’s Pride, Solgar and Osteo Bi-Flex – integrated into Nestlé Health Science (NHSc), but its sports and active nutrition brands – Pure Protein, Body Fortress and MET-Rx – its UK-based personal care brand Dr.Organic and Canadian OTC business VitaHealth OTC, aren’t included in the deal.
“Vitamins and supplements are a key part of our business and have contributed to strong growth acceleration,” says Nestlé Health Science CEO Greg Behar. “This acquisition complements our existing health and nutrition portfolio in terms of brands and channels. It will establish Nestlé Health Science as the industry leader in mass retail, specialty retail, e-commerce and direct-to-consumer in the US, while offering significant opportunities for geographic growth.”
“Today’s announcement recognizes the transformation of The Bountiful Company over the past 3+ years, as well as the collective value and capabilities of the organization,” adds The Bountiful Company’s president and CEO Paul Sturman. “I am incredibly grateful to the 4,500 colleagues around the globe who have worked tirelessly to get us to this point. As a leader in global nutrition, we take seriously our responsibility and role in consumers’ health and wellness. We’re incredibly proud of the trusted brands we’ve built with the support of KKR and our other stakeholders.”
We know that The Bountiful Company will add value to Nestlé and continue to enhance the health of the millions
“Paul and the entire The Bountiful Company team have built a global portfolio of brands that are positioned for sustained growth, with a great culture of innovation, accountability and pace of change,” says Nate Taylor, Partner and Co-Head of Americas Private Equity at KKR. “We know that The Bountiful Company will add value to Nestlé and continue to enhance the health of the millions of consumers who use their products each and every day.”
KKR acquired a majority interest in The Bountiful Company from The Carlyle Group in 2017. Carlyle Partners V and Carlyle Europe Partners III funds retained a minority stake and are participating in the sale alongside KKR.
“Since KKR’s investment, The Bountiful Company has transformed into a leading, fast growth, pure-play nutrition platform through significant investments in talent, brand building, R&D, e-commerce and manufacturing capabilities,” says Felix Gernburd, MD at KKR. “We’re immensely appreciative of everything Paul and the management team have done to build a unique company that is dedicated to bringing wellness to its communities and creating value for all of its stakeholders.”
The transaction is expected to close in the second half of 2021.
