KKR, a leading global investment firm, announced that Nestlé has agreed to acquire The Bountiful Company, a pure play branded leader in global nutrition, for $5.75 billion.
Under the terms of the agreement, Nestlé will acquire The Bountiful Company’s vitamin and supplement brands, Nature’s Bounty®, Puritan’s Pride, Solgar and Osteo Bi-Flex, which will be integrated into Nestlé Health Science (NHSc) to create a global leader in vitamins, minerals and nutritional supplements.
“Today’s announcement recognizes the transformation of The Bountiful Company over the past 3+ years, as well as the collective value and capabilities of the organization. I am incredibly grateful to the 4,500 colleagues around the globe who have worked tirelessly to get us to this point,” said Paul Sturman, President and CEO, The Bountiful Company. “As a leader in global nutrition, we take seriously our responsibility and role in consumers’ health and wellness. We’re incredibly proud of the trusted brands we’ve built with the support of KKR and our other stakeholders.”
“Paul and the entire The Bountiful Company team have built a global portfolio of brands that are positioned for sustained growth, with a great culture of innovation, accountability and pace of change,” said Nate Taylor, Partner and Co-Head of Americas Private Equity at KKR. “We know that The Bountiful Company will add value to Nestlé and continue to enhance the health of the millions of consumers who use their products each and every day.”
“Since KKR’s investment, The Bountiful Company has transformed into a leading, fast growth, pure-play nutrition platform through significant investments in talent, brand building, R&D, eCommerce, and manufacturing capabilities,” added Felix Gernburd, Managing Director at KKR. “We’re immensely appreciative of everything Paul and the management team have done to build a unique company that is dedicated to bringing wellness to its communities and creating value for all of its stakeholders.”
KKR, primarily through its Americas XII Fund, acquired a majority interest in The Bountiful Company from The Carlyle Group in 2017. Carlyle Partners V and Carlyle Europe Partners III funds retained a minority stake in the company and are participating in the sale alongside KKR.
“We’re pleased to have partnered with the management team and KKR in this chapter of The Bountiful Company’s growth and are excited to see the business continue its journey with Nestlé,” said Jay Sammons, Head of Carlyle’s Global Consumer, Media and Retail team.
The Bountiful Company’s sports and active nutrition brands, Pure Protein, Body Fortress and MET-Rx, as well as UK-based personal care brand, Dr.Organic, and the Canadian over-the-counter (OTC) business, VitaHealth OTC, are not included in the sale.
The transaction is expected to close in the second half of 2021, subject to regulatory approvals and other customary closing conditions.
Evercore is acting as lead financial advisor and Simpson Thacher & Bartlett LLP as legal advisor to KKR. Morgan Stanley & Co. LLC and JP Morgan Securities LLC also served as financial advisors to KKR.
