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CHF121.94 1.1  0.9%

Last Trade - 17/01/22

Sector
Consumer Defensives
Size
Large Cap
Market Cap £266.56bn
Enterprise Value £298.04bn
Revenue £68.13bn
Position in Universe 1st / 1057

BREAKINGVIEWS-Nestlé’s $10 bln L’Oréal sale is a messy trim

Wed 8th December, 2021 10:30am
(The author is a Reuters Breakingviews columnist.  The opinions
expressed are her own.)
    By Dasha Afanasieva
    LONDON, Dec 7 (Reuters Breakingviews) - The food giant sold
a 3% stake in the French cosmetics group, hanging onto 20%. It’s
been a strong performer, but a full exit would make more sense
for Nestlé’s shareholders. CEO Mark Schneider’s timidity may
reflect a dearth of reasonably priced companies to spend the
money on. 
    Full view will be published shortly.
    Follow @dasha_reuters https://twitter.com/dasha_reuters on
Twitter
    
    CONTEXT NEWS
    - Nestlé will cut its stake in L’Oréal by selling shares
worth 8.9 billion euros back to the French cosmetics brand, the
food group said late on Dec. 7. 
    - Following the deal, Nestlé said it would own 20.1% of
L’Oréal, down from 23.3%. 
    - L’Oréal is paying 400 euros per share and planning to
cancel the stock afterwards. As a result, the Bettencourt Meyers
family’s stake will rise to 35% from 33%. 
    - Nestlé shares rose almost 2% by 0908 GMT on Dec. 8, while
L’Oréal rose 1%.
    
 

 (Editing by Neil Unmack, Oliver Taslic and Karen Kwok)
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