Nestle Buys Bountiful’s Main Brands for USD5.75bn

Nestle has bought the main brands of vitamin and supplements maker The Bountiful Company for USD5.75bn, the company said in a press release, marking the latest expansion of its health and nutrition business.

Nestle bought Bountiful from KKR in a deal which covers the U.S. company’s Nature’s Bounty, Solgar, Osteo Bi-Flex and Puritan’s Pride brands.

The deal, expected to be completed during the second half of this year, did not include the sports and active nutrition brands Pure Protein, Body Fortress and MET-Rx, as well as Dr. Organic and the Canadian over-the-counter business, which did not fit with the rest of Nestle Health Science business.

“This acquisition complements our existing health and nutrition portfolio in terms of brands and channels,” said Greg Behar, CEO of Nestle Health Science. “It will establish Nestle Health Science as the industry leader in mass retail, specialty retail, e-commerce and direct-to-consumer in the U.S., while offering significant opportunities for geographic growth,” he added.

The acquired brands had sales of USD1.87bn in the year to March 2021, with an EBITDA margin of 18.3%. The margin is expected to increase above the Nestle Group average once synergies are fully implemented by 2024, the Swiss company said.