Nestlé creates Peranel in €4.9-billion deal to reshape bottled water business

Nestlé is carving out its global bottled water business into a new company called Peranel, marking one of the Swiss food giant's biggest portfolio changes in recent years. The new business will be jointly owned with US investment firm Platinum Equity in a transaction valued at €4.9 billion.

The move brings together more than 30 bottled water and premium beverage brands operating across 120 countries, including internationally recognised names such as San Pellegrino, Perrier and Acqua Panna. Nestlé said the deal is expected to generate around €3 billion in cash proceeds for the company.

"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 new company will be headquartered in Paris and will be led by Muriel Lienau, who currently heads Nestlé Waters.

The restructuring reflects Nestlé's broader strategy of sharpening its focus across key business segments while giving its water portfolio a dedicated management structure. The company believes the standalone business will be better positioned to respond to changing consumer demand in the global premium beverage market.

The announcement came alongside Nestlé's financial results for the first half of 2026. The company reported sales of 43.1 billion Swiss francs for the January-June period, down 2.5% from a year earlier, while net profit declined 31.4% to 3.5 billion Swiss francs. Nestlé attributed the drop primarily to restructuring costs and asset write-downs linked to businesses earmarked for disposal.

Nestlé remains one of the world's largest food and beverage companies, with a portfolio of more than 2,000 brands, including Nespresso coffee, Maggi products and KitKat, alongside its global bottled water business. The creation of Peranel represents a major step in reshaping that portfolio while giving its water brands a dedicated platform for future expansion.

With AFP inputs