Nestlé has announced plans to spin off its water and premium beverages division into a standalone global business, effective from 1 January 2025.
The Swiss food giant unveiled its action plan during the company’s Capital Markets Day on Tuesday, 19 November, ‘to drive category growth and improve market share performance’. The strategy includes enhancing operational efficiency, increasing advertising and marketing investment by 9% and achieving additional cost savings of at least CHF 2.5 billion (approx. $2.83 billion) by 2027.
As part of the plan, Nestlé plans will separate its bottled water and premium beverage brands, including labels such as Perrier and San Pellegrino into an independent business unit.
The move is part of a broader strategy to enhance operational performance and unlock the full potential of its brands.
The newly formed business will be led by Muriel Lienau, head of Nestlé Waters Europe. Nestlé stated that the new management team will review the strategic direction of the standalone water and premium beverages business. This evaluation will involve exploring partnership opportunities to maximise the potential of Nestlé’s brands and growth platforms.
Nestlé’s action plan is designed to drive ‘superior, sustainable and profitable’ growth. Over the medium term, the company anticipates achieving organic sales growth exceeding 4% under normal operating conditions, alongside an underlying operating profit margin of over 17%.
by Rafaela Sousa
Source: foodbev.com
Braun currently serves as EVP and president for international development, overseeing the company’s operating units for Latin America; Japan and South Korea; ASEAN and South Pacific; Greater China and Mongolia; Africa; India and Southwest Asia; and Eurasia and Middle East.
Thompson brings over 35 years of experience in the consumer packaged goods industry, with a strong background in sales, marketing and general management. Before joining Nestlé, he served as CEO of Ghirardelli Chocolate Company and held leadership roles at Clorox Company and Procter & Gamble.
Mondelez International has named Volker Kuhn executive vice president and president of its European division, effective April 1, 2025. Kuhn will replace Vinzenz Gruber, who is set to retire on April 1, 2025. In these new roles, Kuhn will report directly to Dirk Van de Put, chairman and chief executive officer of Mondelez.
