The sale to One Rock Capital Partners and Metropoulos & Co. is about regional fountain water brands, purified water business and beverage delivery service in the US and Canada.
However, Nestl said it did not associate itself with international brands such as Periyar, San Bellegrino and Aqua Panna, which contributed to reviving the growth of the activity in the third quarter.
“We are transforming our water businesses globally with the goal of improving the long-term profitability growth position,” CEO Mark Schneider said in a statement. “These sales will allow us to focus more on our premium international brands, local natural mineral water and high quality healthy hydration products.”
The Wave Group announced last June that it was considering selling the Nestle Waters operation in North America. Reuters reports that One Rock is in talks with Capitol this month.
According to OneRock, the division employs about 7,000 people in the United States and more than 230 in Canada.
“As a private company, the business must have more resources and flexibility to achieve sustainable growth and strengthen existing operations,” said Kimberly Reid, partner at OneRock.
(Supam Galia in Bangalore; French version by Bertrand Poochi, edited by Plant’s Honald)