How much money does Nestlé expect to raise from the water business spin-off, and what is the structure of the new entity?

Nestlé expects to raise around €3 billion ($3.43 billion) from spinning off its water business into a 50-50 joint venture with U.S. investment firm Platinum Equity; the new company, named Peranel, will include the Source Perrier, S.Pellegrino and Acqua Panna premium water brands, Nestlé Pure Life, and local water businesses, with an enterprise value of €4.9 billion implying approximately €3.0 billion in cash proceeds for Nestlé at closing.

What are the key strategic reasons behind Nestlé's decision to spin off its water business?

Nestlé has long been exploring new options for its water business due to legal and regulatory fallout in France over unauthorised water treatment and mounting environmental criticism over water use and sustainability concerns; CEO Philipp Navratil is also seeking to improve growth and profitability by focusing on core brands across infant formula, coffee, and pet foods.

Nestle to Raise €3 Billion via Water Business Spin-Off

Jul 22, 2026

Nestle plans to spin off its water business into a joint venture with Platinum Equity, creating Peranel valued at €4.9 billion. The transaction will raise approximately €3 billion for Nestle as it focuses on core brands amid sustainability concerns.

reuters

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Nestle Nears Sale of Water Business Stake at Close to €5 Billion Valuation, FT Reports

2026-07-22

Nestle to Raise €3 Billion via Water Business Spin-Off

Nestle to Raise €3 Billion via Water Business Spin-Off

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