Nestlé to receive EUR 3 billion as Platinum Equity buys 50 per cent water business stake

LONDON: Nestlé is making a splash with a new chapter for its bottled water business. The food and beverages giant has teamed up with private equity firm Platinum Equity to create Peranel, a standalone global company that will house its waters and premium beverages portfolio in a deal valued at $5.6 billion (EUR 4.9 billion).

The new venture will be owned equally by the two partners and is aimed at creating a dedicated global player with greater flexibility to pursue both organic growth and acquisitions in the fast-growing hydration and premium beverages market. The transaction is subject to employee consultations and regulatory approvals and is expected to close in the first half of 2027.

Headquartered in Paris, Peranel will oversee a portfolio of more than 30 brands sold across 120 countries. Its stable includes globally recognised names such as S.Pellegrino, Perrier, Acqua Panna, Nestlé Pure Life, alongside several regional water brands and premium hydration products.

The company will be led by Muriel Lienau, who currently heads Nestlé’s waters and premium beverages business and has spent more than three decades with the company.

“By partnering with Platinum Equity, Peranel will be better positioned to execute its strategy with enhanced agility,” Nestlé chief executive officer Philipp Navratil said. He added that the standalone business would continue investing in innovation, premiumisation, operational excellence and sustainability while strengthening its portfolio of international and local brands.

For Platinum Equity, which manages around $48 billion in assets, the investment builds on its long track record of supporting corporate carve-outs and standalone businesses.

“We are honoured to have earned Nestlé’s confidence and are excited to be their partner,” Platinum Equity co-president Louis Samson said. He noted that the firm’s operational expertise and experience in building independent businesses would help create long-term value for Peranel.

Lienau described the venture as a significant milestone for the business and its employees.

“This announcement marks an important milestone for our teams and an exciting new chapter in the evolution of our business,” Peranel chief executive officer Muriel Lienau said, adding that the partnership would support the company’s next phase of growth.

Peranel will also inherit an in-house research and development team that has delivered around 120 product launches since 2022, with more innovations currently in the pipeline. As a standalone company, it will have greater freedom to invest in brands, expand into new markets and explore acquisition opportunities.

“We are investing in some of the fastest-growing parts of the beverage market, supported by long-term trends around health, wellness, hydration and premium products,” Platinum Equity managing director Igor Chacartegui said, adding that the firm also plans to support Peranel’s future expansion through mergers and acquisitions.

The transaction further strengthens Platinum Equity’s presence in Europe, where it already owns businesses across the UK, Germany, France, Italy, Spain and the Netherlands. For Nestlé, carving out its water and premium beverages unit into a dedicated company marks a strategic shift aimed at unlocking faster growth in one of the beverage industry’s most competitive and rapidly evolving segments.