Published by Global Banking & Finance Review®
Posted on February 19, 2026
2 min readLast updated: April 3, 2026
Add as preferred source on GoogleNestle is considering reducing its ice cream exposure, potentially trimming its Froneri stake, Bloomberg reports. It may also sell some in-house ice cream assets to Froneri. Discussions continue and a transaction isn’t guaranteed.
Feb 18 (Reuters) - Nestle is weighing a smaller presence in the ice cream business and has been reviewing options, including a possible reduction of its stake in Froneri, Bloomberg News reported on Wednesday.
The Switzerland-based food and drink maker may also consider selling some of its remaining fully-owned ice cream operations to the Froneri venture, the report added, citing people with knowledge of the matter.
Nestle declined to comment, while Froneri did not immediately respond to Reuters' queries.
Froneri, a joint venture between PAI Partners and Nestle, secured investment from Goldman Sachs and Abu Dhabi Investment Authority (ADIA) in October, valuing it at 15 billion euros ($17.69 billion).
PAI could opt to increase its stake in Froneri if Nestle decides to cut its shareholding, or the Swiss group could sell part of its stake to another investor like ADIA, Bloomberg said.
Deliberations are ongoing and there’s no certainty a deal will eventually materialize, the report added.
Froneri, the maker of ice cream brands such as Haagen-Dazs and Rowntree's, competes with the newly listed Magnum Ice Cream Company, which became a standalone business after its long-awaited split last year from Unilever.
($1 = 0.8481 euros)
(Reporting by Mihika Sharma in Bengaluru and Mrinmay Dey in Mexico City; Editing by Alan Barona and Jonathan Ananda)
A joint venture is a business arrangement where two or more parties combine resources to run a specific enterprise. Each contributes capital or assets, shares risks and returns, and typically retains separate ownership while jointly managing the venture’s strategy and operations.
A stake reduction occurs when a company or investor lowers its percentage ownership in another business. This can happen by selling shares to existing partners, new investors, or in public markets, thereby changing control, influence, and future profit participation.
A demerger is a corporate action where a company separates a division or business unit into an independent entity. Shares in the new company may be distributed to existing shareholders, enabling clearer strategic focus, standalone management, and potentially separate stock exchange listings.
Valuation is the process of estimating a company’s worth using methods like discounted cash flow, comparable company analysis, or precedent transactions. It informs investment decisions, stake sales, mergers, and financing by indicating enterprise value or equity value at a given time.
A sovereign wealth fund is a state-owned investment fund that deploys national reserves across assets like equities, private equity, real estate, and infrastructure. Its goals typically include long-term capital growth, diversification of national income, and stabilizing public finances.
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