Nestle SA has agreed to sell its vitamins, minerals and supplements business to US-based private equity firm Yellow Wood Partners for $1 billion, according to the Swiss food major's statement on Tuesday. The transaction is part of Nestle's broader strategy to reshape its portfolio and focus on higher-growth categories. CEO Philipp Navratil stated that the divestment will help the company focus resources on areas where it has stronger competitive advantages, calling it 'another important step in the strategic transformation of our portfolio' and noting that 'the mainstream VMS business requires a different approach under dedicated ownership'.
The deal includes seven brands — Nature's Bounty, Osteo Bi-Flex, Ester-C, Gard, Nuun, Puritan's Pride and Sisu — and Nestle's US private-label supplements business, as reported by Nestle. The transaction also covers related manufacturing, packaging, warehousing and distribution operations. According to Reuters, the business generated $1.2 billion in sales in 2025, mainly operating in the US, with presence in Canada and China. The transaction remains subject to regulatory approvals and is expected to close in the first half of 2027.
The Boston-headquartered private equity firm has expanded its portfolio through several notable acquisitions, including ChapStick from Haleon in 2024 and Unilever's non-core beauty and personal care business, Elida Beauty, in 2023, according to the statement. This marks Yellow Wood Partners' sixth purchase from a major consumer goods company since 2019. The sale comes four years after Nestle acquired core brands of The Bountiful Company for $5.75 billion, including Nature's Bounty and Osteo Bi-Flex.
Nestle will continue to develop its premium, science-led VMS portfolio, including brands such as Solgar and Pure Encapsulations, as reported by Reuters. The divestment allows Nestle to focus resources on areas where it has stronger competitive advantages and higher-growth categories. The company's strategy reflects the evolving consumer goods landscape, with Navratil noting that the category has evolved and requires different approaches under dedicated ownership.
During a visit to India, Navratil said the country is already among Nestle's top 10 markets and was its strongest-performing market by growth in the first half of 2026, as reported by news agency PTI. He stated that 'Top five is definitely... it is on the horizon' and the team is working towards that milestone, with the company planning to increase investments in India as the market grows. Nestle currently operates nine manufacturing plants in India and is developing a tenth facility in Odisha, with the company having announced a ₹5,000 crore investment for India in 2022.
