Nestle agreed Tuesday to sell its U.S. confectionery unit to Ferrero, the Italian maker of Nutella, in the first substantial step away from the candy industry by the company that is credited with inventing milk chocolate.
The sale of the unit, which includes the Butterfinger and Baby Ruth brands, is also the first major divestment by the Swiss food giant since CEO Mark Schneider took the helm last year. Nestle plans to focus on healthier and faster-growing categories like coffee, pet food and water as the industry grapples with a drop in demand for sugary products. "Our commitment to invest in the U.S. is as big as ever," Nestle USA chief Paul Grimwood said on a call.
