Thu, Jun. 9, 10:44 AM
- Shares of Hershey (NYSE:HSY) are up 1.7% with some traders chatting up a Nestle (OTCPK:NSRGY, OTCPK:NSRGF) buyout scenario.
- Nestle is currently third in the North America chocolate market behind Hershey and Mars.
- A Nestle-Hershey combination would likely lead to some asset sales, similar to the MegaBrew deal maneuvers that Anheuser-Busch InBev and SABMiller had to work out to appease regulators.
Thu, Mar. 3, 9:14 AM
- JAB Holding completes its acquisition of Keurig Green Mountain (NASDAQ:GMCR).
- The transaction brings Keurig under the same corporate umbrella as Caribou Coffee, Peet's Coffee & Tea, Jacobs Douwe Egberts, Bach Espresso, Bravo, Einstein Noah Restaurant Group, and Espresso House.
- By swallowing up Keurig, JAB has raised the stakes in its battle with Starbucks (NASDAQ:SBUX), Mondelez International (NASDAQ:MDLZ), Nestle (OTCPK:NSRGY), and JM Smucker (NYSE:SJM) for coffee dominance. For now, Starbucks plans to stick with its Keurig partnership, although on the last SBUX earnings call Howard Schultz called the future of the relationship unresolved (earnings call transcript). The other companies will also have to shift strategy to the new coffee matrix.
- JAB is a privately-owned company with power divided up between the children of Albert Reimann.
Thu, Feb. 4, 5:06 AM
- Nestle (OTCPK:NSRGY) has agreed to buy out Osem Investments (OTC:OSEMF), Israel’s largest publicly-traded foodmaker, for about 3.3B shekels ($840M), returning to acquisitions in the industry after a series of divestments.
- Nestle will pay Osem investors 82.50 shekels a share to buy the 36.3% stake it doesn't already own, the Swiss company said in a statement.
- According to Bloomberg, the purchase is Nestle's biggest food acquisition since 2012.
Aug. 19, 2015, 11:38 AM
- Large food companies need to focus on bold M&A and innovation actions over recharging iconic brands, concludes Rabobank in a new report on the sector.
- A shift in consumer preferences has sparked a need to introduce new brands which are on trend - instead of focusing on "innovation-lite" and product reformulation strategies. Buying promising brands at an earlier stage than normal is seen as a forward-thinking strategy.
- Related stocks: KHC, MDLZ, PEP, KO, OTCPK:NSRGY, OTCPK:NSRGF, WWAV, HAIN, K, GIS, POST, CPB, PF, THS.
Jan. 29, 2015, 11:03 AM
- The powerful rally in the Swiss Franc has given more M&A firepower to multinationals based in the nation, notes Bloomberg.
- The food industry could see one of the first deals if an emboldened Nestle (OTCPK:NSRGY) decides to make a run at General Mills (GIS -1.9%).
- A combination of Nestle and General Mills has been floated around by analysts before due to the powerful synergies that could be struck between the food giants.
Jul. 2, 2014, 3:50 AM
- In another move trimming its food product line, Nestle (NSRGY, NSRGF) has sold Juicy Juice to buyout firm Brynwood Partners for up to $200M. The Swiss giant has been facing heavy competition in its food products sector, and has been selling off businesses having a rough time retaining market share.
- The $7.3B juice market Nestle competes in has been shrinking by about 3% a year since 2011, and annual sales of Juicy Juice have fallen to approximately $275M, from more than $500M seven years ago.
- Nestle is now trying to focus on faster-growing parts of its beverage business, like Nesquik and Coffee-mate.
Feb. 11, 2014, 2:04 AM
- L'Oreal (LRLCF) has agreed to acquire 8% of its capital from Nestle (NSRGY) for €6.5B ($9B) in a deal that will reduce the latter's holding in the cosmetics group to 23.29% from 29.4%.
- L'Oreal will pay €3.4B of the total sum in cash and the rest by handing over 50% of its stake in Swiss dermatology pharmaceuticals company Galderma, a 50-50 joint venture between Nestle and the French firm. The latter deal has an enterprise value of €3.1B.
- Nestle intends to use the cash from the deal to repurchase stock and it is creating a new unit called Nestle Skin Health, using Galderma as the basis.
- L'Oreal plans to cancel all the shares that it is buying back. Following the transaction, the Bettencourt Meyers family's holding in the company will rise to 33.31% from 30.6%. (PR)
Feb. 7, 2014, 6:39 PM
- Bloomberg reports Nestle (NSRGY) is "exploring ways" to slash its 29% stake in cosmetics giant L'Oreal (LRLCF), which has a current value of $30B.
- Sources state Nestle has "raised the issue to L’Oreal at the highest levels and both sides have discussed the matter with banks." However, some caution the sale process could take years to fully transpire, given the size of the stake and complex ties with the Bettencourt family (owns 31% of L'Oreal).
- Nestle, which has $6B+ in cash and shor-term investments, reportedly "doesn't have an immediate plan" regarding how to spend the proceeds from a sale.
- Previous: L'Oreal looks to buy out Nestle stake
Dec. 6, 2013, 5:06 AM
- Nestle (NSRGY) is selling its 10% holding in flavors and fragrances maker Givaudan (GVDNY) via a private placement to institutional investors such as pension funds.
- The sale of the stake, which is worth up to 1.08B Swiss francs ($1.2B), comes as Nestle reviews its businesses and offloads under-performing assets. The company recently sold weight-loss firm Jenny Craig and is reportedly searching for a buyer for its PowerBar energy bars brand.
Oct. 8, 2013, 7:08 PM
- Three sources tell Reuters Nestle (NSRGY.PK) is looking to sell its Jenny Craig weight-loss program/diet food business as part of its asset sale efforts. Goldman is said to be assisting with the process.
- Two weeks ago, Reuters reported Nestle's PowerBar energy bar unit is on the block. Analysts think several other Nestle units might also be worth selling.
Oct. 2, 2013, 3:11 AM
- Archer Daniels Midland (ADM) is reportedly close to selling its cocoa business to Cargill in a deal that could be worth up to $2B.
- The divestiture would further strengthen ADM's shift towards the grains industry as it completes its $3B acquisition of GrainCorp. The transaction would also reduce ADM's exposure to the lower profitability that's affecting the cocoa sector.
- The deal would create a global price-setting giant to rival Zurich-based Barry Callebaut (BYCBF.PK), the world's biggest producer of industrial chocolate products. Cargill and Barry Callebaut would account for over 50% of world capacity.
- Food producers that could be affected include MDLZ, HSY, RMCF, KRFT, NSRGY.PK.
- ETF: NIB
Jul. 9, 2013, 2:48 PM
Allergan (AGN +1.8%) ticks higher today on speculation that recent weakness in the stock could lead to a potential takeover. The shares have dipped by 28% since mid-April on concerns over delays in drug studies and generic competition. But AGN could be a good fit for the likes of a GlaxoSmithKline (GSK,), who already licenses Botox from AGN, or Merck (MRK), who produces comparable eye-care products. Leerink Swann notes also that Nestle (NSRGY.PK) could be a good fit for merging its skin-care business.| Jul. 9, 2013, 2:48 PM
Feb. 26, 2013, 11:43 AM
Nestle's (NSRGY.PK -0.4%) Health Science subsidiary ventures into the market for medical foods used to combat depression, agreeing to buy U.S. medical foods company Pamlab for an undisclosed sum. Pamlab makes combinations of vitamins that are used in conjunction with conventional drugs to help patients suffering from depression, as well as other maladies linked to brain and metabolic healthcare such as diabetic peripheral neuropathy, dementia, depression and high-risk pregnancy.| Feb. 26, 2013, 11:43 AM
Feb. 5, 2013, 9:07 AM
South Africa's antitrust authority recommends that Nestle (NSRGY.PK) license its infant formula products for 20 years to a third party in order for regulators to approve the company's acquisition of Pfizer's (PFE) baby nutrition division. The formulas would also have to be sold under a different brand as regulators look to avert price increases. Nestle won't oppose the conditions.| Feb. 5, 2013, 9:07 AM | 1 Comment
Jan. 8, 2013, 7:26 PM
Nestle (NSRGY.PK) is looking to sell nearly $1B of its Latin American assets in an effort to secure regulatory approval for its $12B purchase of Pfizer's (PFE) nutrition unit. The company is in the early stages of the process, with the assets potentially drawing interest from H.J. Heinz (HNZ), Danone (DANOY.PK), Abbott Laboratories (ABT) and Mead Johnson Nutrition (MJN).| Jan. 8, 2013, 7:26 PM
Jun. 28, 2012, 1:09 PM
Nestle (NSRGY.PK) is reportedly in advanced talks with banks to raise $8.7B for its $11.85B takeover of Pfizer Nutrition. Though the deal is on the pricey side, the company has a long-standing reputation as a good bet in the loan markets, allowing it to borrow at cheaper rates.| Jun. 28, 2012, 1:09 PM