Nestlé Initiates Strategic Review of New Zealand Health Supplements Business

Nestlé has initiated a strategic evaluation of The Better Health Company, its business unit in New Zealand that focuses on health supplements. The company, which was acquired by Nestlé Health Science in 2022, includes brands such as Go Healthy and the Manuka honey brand Egmont.

The review process forms part of Nestlé’s broader strategy to refine its operations and optimize underperforming brands. Recently, the company divested a 50% stake in its water and premium beverages segment, leading to the formation of a new joint venture named Peranel, valued at $5.6 billion.

The Better Health Company encompasses various dietary and nutraceutical products, such as vitamins, probiotics, and powdered beverages, along with a manufacturing facility located in Auckland. The decision to review this business aligns with industry trends, where firms like Unilever and General Mills are also unbundling non-core assets.

Nestlé has indicated that the review will explore a comprehensive set of options designed to best position the business for success. However, there remains uncertainty about what the result will be or the timing of any decisions.

The company has stated that operations will continue as usual throughout the review period, and the strategic move is not expected to immediately affect current business activities.