Nestle acquires medical nutrition company
Feb. 2, 2011
by Keith Nunes
VEVEY, SWITZERLAND – Nestle S.A., through its Nestle Health Science business unit, has acquired CM&D Pharma Ltd., London. CM&D Pharma focuses on the research and development of food products for special medical purposes. The company’s primary product is Fostrap, a chewing gum for kidney patients who have elevated levels of phosphate in their blood. Terms of the agreement were not disclosed.
“This acquisition is an excellent fit with Nestlé Health Science’s strategic goal of being a pioneer in the promising area of science-based nutrition,” said Luis Cantarell, president and chief executive officer of Nestle Health Science. “We share CM&D’s commitment to use health science for improving the quality of people’s lives, and this acquisition will help to reinforce our position in this opportunity. Additionally, CM&D will benefit from Nestlé Health Science’s commitment to biomedical research, and the resources of the Nestlé Institute of Health Sciences.”
In September, Nestle established its Nestle Health Science division and the Nestle Institute of Health Sciences, which has the stated goal of “pioneering a new industry between food and pharma.” The company said the two separate organizations will allow Nestlé to develop the market of personalized health science nutrition to prevent and treat health conditions such as diabetes, obesity, cardiovascular disease and Alzheimer’s disease.
At the introduction of the two business units, Peter Brabeck-Letmathe, the chairman of Nestle, said, “The combination of health economics, changing demographics and advances in health science show that our existing healthcare systems, which focus on treating sick people, are not sustainable and need redesigning. Nestlé has the expertise, the science, the resources and the organization to play a major role in seeking alternative solutions. Personalized health science nutrition is about finding efficient and cost-effective ways to prevent and treat acute and chronic diseases in the 21st century.”