Nestle completes Novartis acquisition
July 02, 2007
by FoodBusinessNews.net Staff
VEVEY, SWITZERLAND — Nestle S.A. completed the $2.5 billion acquisition of Novartis Medical Nutrition, setting the stage for the integration of Novartis into Nestle Nutrition. As part of the integration, approximately 2,000 Novartis employees will join the Nestle Group.
The move had been held up by the European Commission, who had expressed concern about Nestle’s new dominance of the market for liquid food, used to feed patients intravenously. The transaction received the E.C.’s go ahead, though, after Nestle agreed to divest health care nutrition units in France and Spain.
The acquisition makes Nestle the No. 2 player in the fast-growing health care nutrition market.