Nestle puts skin health unit up for sale to focus on food

ZURICH/LONDON: Nestle put its skin health unit up for sale on Thursday, as the maker of Nescafe and Perrier water ditches underperforming businesses and seeks to fend off criticism from an activist investor demanding an overhaul. The Switzerland-based company is under pressure from Third Point, a hedge fund run by investor Daniel Loeb, who has demanded bolder moves to lift performance. Nestle said it was exploring strategic options for the unit, saying “the future growth opportunities of Nestle Skin Health lie increasingly outside the group’s strategic scope” and its focus on food, drinks and nutritional health. Last week, Nestle agreed to sell its Gerber Life Insurance business for $1.55 billion, while sources said it was also bidding for GlaxoSmithKline’s Horlicks drink. — Reuters