Nestlé has agreed to sell its mainstream vitamins and supplements business to US private equity firm Yellow Wood Partners for $1 billion, extending a broader restructuring aimed at concentrating investment on its biggest growth businesses.
The deal covers well-known brands including Nature’s Bounty, Osteo Bi-Flex and Puritan’s Pride, alongside Nestlé’s private-label supplements operation in the United States and associated manufacturing and logistics activities.
The business being sold generated about $1.2 billion in sales in 2025 and operates predominantly in the US, making the transaction a significant change to Nestlé’s consumer health portfolio.
Brandspur Brand News reports that the Swiss food giant plans to direct greater attention towards priority categories including coffee, petcare, food and snacks. The company has already made other portfolio changes in 2026, including selling half of its water business and moving to divest its ice cream interests.
Proceeds from the vitamins transaction are expected to help Nestlé reduce its leverage. Chief Executive Philipp Navratil has indicated that bringing debt to the desired level could also give the company greater flexibility to consider acquisitions when suitable opportunities emerge.
Nestlé is not leaving the vitamins and supplements market entirely. It plans to retain its presence in the premium end of the category through brands including Solgar and Pure Encapsulations.
The deal comes amid increased acquisition activity across the global supplements industry. Procter & Gamble announced a $3.8 billion agreement to acquire supplement company Thorne in August, while Unilever earlier in 2026 announced plans to acquire multivitamin company Grüns.
For Yellow Wood Partners, the Nestlé transaction will add another collection of established consumer brands to its portfolio. The private equity firm intends to operate the acquired businesses as a standalone company, a structure it believes will allow greater focus on growth and product innovation.
The acquisition is Yellow Wood Partners’ sixth purchase from a major consumer company since 2019. Its previous transactions include ChapStick from Haleon and Elida Beauty, a collection of beauty and personal care brands previously owned by Unilever.
Nestlé’s latest divestment reflects an ongoing effort under Navratil to simplify the group’s sprawling portfolio and direct management attention and capital towards businesses it believes offer stronger long-term prospects.
The transaction is expected to be completed during the first half of 2027, subject to customary closing conditions.
