NESTLE takes majority stake in THE BOUNTIFUL COMPANY

Nestle acquired the primary brand portfolio of The Bountiful Company from private equity sponsor KKR in a transaction announced on 30 April 2021 and completed on 9 August 2021. The perimeter encompassed the core nutritional supplement brands Nature's Bounty, Solgar, Osteo Bi-Flex, and Puritan's Pride, alongside the United States private-label supplement manufacturing operations. The Bountiful Company retained its sports and active nutrition units, including Pure Protein, Body Fortress, and MET-Rx, as well as the Dr.Organic personal care label. The acquired operations generated revenue of $1–10bn, with an EV/revenue multiple of 3.1x, an EV/EBITDA multiple of 15x–25x, and an EBITDA margin of [members only]. At the time of the transaction, the acquired business employed more than 4,500 people across production sites and commercial offices. KKR had acquired The Bountiful Company through a take-private transaction in 2010 when the enterprise traded under the corporate name NBTY, subsequently splitting the company's business divisions prior to the sale. Nestle funded the purchase from corporate cash reserves and existing balance sheet liquidity, integrating the manufacturing plants, packaging sites, and distribution channels into the Nestle Health Science operational unit. The acquisition added tablet, capsule, and gummy manufacturing facilities in the United States to Nestle's health division, expanding shelf placements across North American pharmacies, mass market retailers, and direct digital fulfillment channels. Evercore, Morgan Stanley, and Rothschild served as financial advisors to Nestle, with Gibson, Dunn & Crutcher providing legal advice. Morgan Stanley and Barclays acted as financial advisors to KKR and The Bountiful Company, with Simpson Thacher & Bartlett acting as legal counsel.