Question

Do you agree with Nestle's decision to sell its premium ice cream U.S. operations ?

Answer 1

Yes, I agree with Nestle's decision to sell its premium ice cream to a Swiss company Froneri for $4 billion. It is an attempt of Nestle to shed slow-growing or under-performing businesses and capture growth in the food space. Its ice cream growth was already dwarfed by Unilever. By selling the same, the company would be able to refresh its other businesses and makeup ground against rivals. The company would be able to invest acquired money in other parts of its operations such as coffee and freshwater operations.