Nestle CEO to Separate Water Brands Into Standalone Business

Nestle SA plans to separate its bottled water brands into a standalone business as new Chief Executive Officer Laurent Freixe seeks to bolster growth at the world’s largest food company.

Creating a freestanding arm for brands like Perrier and Acqua Panna could be a prelude to a sale or spinoff of the water business, which has seen slowing organic growth in recent quarters. Freixe also plans a marketing push to try to restore the luster of Nestle’s other brands, a move that looks set to tighten profit margins in the medium term.

A 38-year company veteran, Freixe took over in ...