Nestle is planning to acquire New Zealand’s health supplements producer, The Better Health Company.
The Auckland-based company makes and sells vitamins and supplements through pharmacies and health stores under the Go Healthy brand, as well as owns the manuka honey brand, Egmont.
Nestle said the acquisition is a strategic fit for its existing operations, and the factory in Auckland will help to accelerate its growth while allowing new products to be introduced locally.
Nestle New Zealand Chief Executive Jennifer Chappell said, “This will strengthen our presence not just in New Zealand, but more broadly across the region, with the GO Healthy brand which is already present in Australia, China, Singapore, South Korea and Vietnam, and the globally-known Egmont brand.”
Better Health was formed by Hastings-based entrepreneur Greg Driscoll and Wellingtonians Lisa South and Kurt Renner in 2008. A Singapore-based investment fund manager, China Diamond Holdings bought close to 80% stake in the company in 2017.
The transaction price is not disclosed but is expected to be completed by end of 2022.
In a separate development, Nestle has also unveiled plan to set up a manufacturing plant in Cambodia, after the country recently signed bilateral free trade agreements with China and South Korea, as well as the Regional Comprehensive Economic Partnership Agreement (RCEP) with 10 ASEAN countries and partners including China, Japan, Korea, Australia and New Zealand. The Cambodian government is also introducing various reforms to simplify business and investments in the country including laws on food safety, quality control and consumer and business protection.