Platinum Equity Nears Deal for Stake in Nestlé Water Unit Valued at Nearly €5 Billion

Private equity firm Platinum Equity is in advanced negotiations to acquire a significant stake in Nestlé's European water business in a deal that would value the unit at nearly €5 billion. The transaction would see the U.S.-based firm take approximately half of the division, which includes iconic brands such as San Pellegrino and Perrier.

Deal Structure and Valuation

The pending agreement is structured as a joint venture, with Platinum Equity set to acquire an approximately 50% stake, according to a Financial Times report citing people familiar with the matter. The total valuation for the water business under the proposed terms is almost €5 billion.

This move would conclude a lengthy sale process for the Swiss food and beverage giant as it continues to reshape its global portfolio. The two parties are reportedly working to finalize the terms of the deal ahead of a key deadline.

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Context and Timing

Nestlé and Platinum Equity are aiming to complete the agreement before the Swiss company releases its half-year trading update on Thursday, the sources said. A successful transaction would mark a significant strategic shift for Nestlé's water division, bringing in a private equity partner to co-manage some of the world's most recognized premium water brands.

For investors, the deal highlights ongoing portfolio optimization efforts by major consumer packaged goods companies. Divesting a partial stake allows Nestlé to unlock capital while retaining exposure to the high-margin premium water segment through the joint venture structure.