Nestlé and Platinum Equity plan to form Peranel, a 50:50 joint venture focused on Nestlé’s water and premium beverage business.

The proposed standalone company will include more than 30 brands, including S.Pellegrino, Source Perrier, Acqua Panna and Nestlé Pure Life. Peranel also will manage premium and functional hydration beverages. 

The structure is reportedly intended to give the business greater flexibility to invest in brands, product development and expansion opportunities. According to Nestlé, the business has an internal research and development team that has supported about 120 product launches since 2022. The company also has additional products in development.

The transaction assigns Peranel an enterprise value of approximately $5.6 billion (4.9 billion euros). Nestlé expects to receive approximately $3.4 billion (3 billion euros)in cash proceeds when the deal closes.

In a company statement, Nestlé CEO Philipp Navratil said the partnership would give Peranel more flexibility to pursue growth through innovation, premiumization, operational improvements and sustainability initiatives.

Platinum Equity, which manages approximately $48 billion in assets, said it plans to support Peranel’s transition into a standalone company. The investment firm also expects to use its merger and acquisition capabilities to expand and refine the brand portfolio.

Peranel will be headquartered in Paris. Muriel Lienau, the current chief executive of the business, will lead the new company.

The transaction remains subject to employee consultation requirements and regulatory approvals. The companies expect it to close during the first half of 2027.