Nestle to Offload Half of Waters Business in Joint Venture With Platinum Equity

Platinum Equity is in advanced negotiations to acquire a 50% stake in Nestlé's European water business in a transaction that would value the joint venture at nearly €5 billion. According to Reuters reporting on July 22, 2026, the private equity firm has positioned itself as the sole remaining bidder following the exit of rival Clayton Dubilier & Rice from the competitive process. The timing is significant, as both parties are reportedly targeting a deal close before Nestlé's first-half earnings announcement on July 24.

The water business represents a meaningful portfolio asset, encompassing premium bottled water brands such as Perrier, San Pellegrino, and Acqua Panna. Under the structure of this joint venture, Nestlé would retain approximately 50% ownership while ceding operational and strategic control to Platinum Equity. This approach enables the Swiss multinational to unlock capital value from the business while maintaining a financial stake in its performance.

The divestiture aligns with the strategic portfolio review initiated under CEO Laurent Freixe, who has prioritized improving growth and profitability by concentrating resources on Nestlé's core brands. In May 2026, Nestlé engaged Rothschild to explore potential partnerships or stake sales in the European water business, signaling the company's intent to optimize its asset base while retaining partial ownership rather than pursuing a full exit. The transaction reflects a broader trend among diversified food and beverage conglomerates to improve financial efficiency through selective portfolio rationalization and private equity partnerships.

Nestlé declined to comment on the deal structure as of the Financial Times reporting date, maintaining standard confidentiality protocols during active negotiations.