Nestlé weighs divestment of Blue Bottle Coffee chain

Nestlé has engaged concern slope Morgan Stanley to analyse strategical options for its Blue Bottle Coffee business, including a imaginable divestment, arsenic reported by Reuters.

The reappraisal forms portion of a wider restructuring inaugural led by caller CEO Philipp Navratil, who is seeking to simplify the group’s portfolio and standard backmost nonstop engagement successful moving bricks-and-mortar retail.

Nestlé acquired a controlling involvement successful Blue Bottle Coffee successful 2017 successful a woody that valued the speciality java concatenation astatine astir $700m.

The brand, known for its drip java and minimalist cafés, was seen astatine the clip arsenic a premium summation to Nestlé’s planetary java platform.

A merchantability present would apt beryllium astatine a little valuation than that 2017 benchmark. Deliberations are ongoing and nary last determination has been made.

The imaginable exit follows a akin way taken by rival Coca-Cola, which is exploring options for its British java concatenation Costa Coffee, including a imaginable sale.

In August 2025, Sky News reported that Coca-Cola is moving with concern slope Lazard connected this process.

The brushed drinks elephantine has opened discussions with imaginable bidders, including backstage equity companies.

Nestlé and Morgan Stanley some declined to remark connected the Blue Bottle review.

Blue Bottle presently runs astir 100 outlets crossed the US and Asia. In summation to its café network, the marque sells packaged java and branded merchandise specified arsenic mugs.

Nestlé is considering scenarios nether which it would dispose of the carnal cafés but support power of Blue Bottle’s intelligence property, allowing it to proceed distributing branded products without operating the retail sites.

Blue Bottle was founded by James Freeman successful 2002 successful Oakland, California, initially arsenic a small-scale roastery.

Its archetypal dedicated café opened successful San Francisco successful 2005, and the concatenation has since expanded into respective large cities successful the US and overseas.

The marque sits alongside Nestlé’s larger java operations, which see planetary labels specified arsenic Nescafé and Nespresso.

The Blue Bottle reappraisal comes arsenic Nestlé conducts a broader reassessment of parts of its portfolio.

In July 2025, the radical launched a strategical reappraisal of respective vitamin and supplement brands, including Nature's Bounty, Osteo Bi-Flex, Puritan's Pride and its US private-label supplements business.

The institution has besides acceptable retired plans to merchantability its h2o division, which includes the Perrier and S.Pellegrino brands.

"Nestlé weighs divestment of Blue Bottle Coffee chain" was primitively created and published by Verdict Food Service, a GlobalData owned brand.