To us, of course, it’s the stuff that we add sparingly to the single malt of an evening. But to Clover and Nestlé it’s a great new business opportunity. The well-matched pair (milk and milk products, anyone?) have entered into an interesting business arrangement, which involves the purchase by Clover of the Nestlé’s Doornkloof manufacturing facility, as well as the rights to manufacture, distribute, market and sell their Nestlé’s Pure Life, Valvita and Schoonspruit brands of bottled water, and Nestea iced tea. All of this for a cool, and indeed sparkling R58million, paid in kind by Clover in 30% of the shares in the new entity, Clover Waters. A great fit for Clover, who already market their own Aquartz water and Manhattan ice tea, and for Nestlé who see the deal as a more efficient route to a broader market for those brands.
Comment: Refreshing stuff, a deal of this nature. And water, so we are told.