Nestlé has discovered a purchaser for the “mainstream” nutritional vitamins, minerals and dietary supplements (VMS) manufacturers it put under review last yr.
The Swiss food giant has agreed to offload the portfolio to US private-equity firm Yellow Wood Partners for SFr800m ($1bn).
The disposal concludes the strategic review course of that Nestlé launched in July 2025 for its “mainstream and value VMS brands”. The company purchased the property in 2021 as half of a $5.75bn deal with The Bountiful Company.
Nestlé has labelled the portfolio being offered as the “Holistic Health portfolio”. It contains seven manufacturers: Nature’s Bounty, Osteo Bi-Flex, Ester-C, Gard, Nuun, Puritan’s Pride and Sisu.
The transaction also contains the related US private-label dietary supplements business along with “dedicated manufacturing, packaging, warehousing and distribution operations”, according to a assertion.
The so-called “science-led” VMS property under the manufacturers Solgar and Pure Encapsulations are not half of the transaction.
Nestlé said the property under the settlement with Yellow Wood generated gross sales of $1.2bn in 2025, with gross sales largely in the US but also Canada and China.
CEO Philipp Navratil said: “This is another important step in the strategic transformation of our portfolio.
“We are focusing our assets where we have the strongest aggressive benefit. With Nestlé’s sturdy innovation and brand-building capabilities, we are effectively positioned for growth in the premium, science-led VMS space, where manufacturers such as Solgar and Pure Encapsulations proceed to carry out strongly.
“At the same time, the category has evolved, and the mainstream VMS business requires a different approach under dedicated ownership.”
The transaction is subject to regulatory approvals and is expected to close by the first half of next yr.
Meanwhile, in a separate assertion, Yellow Wood said the deal represents its sixth “significant carveout acquisition” from a international client company, including transactions with Bayer, Reckitt Benckiser, Unilever and Haleon.
Yellow Wood companion Dana Schmaltz said: “The Holistic Health portfolio provides a group of speciality category leaders in various high-growth sectors of the attractive VMS market, including hydration, gut health and immunity.
“Operating Holistic Health as a standalone entity will present the alternative to leverage the energy of each model to speed up growth, improve innovation and strengthen their market positions with customers and retail companions.
“We have developed an excellent relationship with the team at Nestlé and look forward to ensuring a smooth transition over the coming months as we close the transaction.”