BioGaia, Nestlé sign new probiotic supply and licence deal

Probiotics manufacturer BioGaia has entered into a new supply and licence agreement with Nestlé that will see the Swiss food and beverage giant include the firm's Lactobacillus reuteri probiotic in a “new category” of products.

The agreement -the third between BioGaia and Nestlé to-date - gives Nestlé exclusive rights to use BioGaia’s Lactobacillus reuteri probiotic in an additional range of products in a large number of countries.

According to Sweden-based BioGaia, the agreement has a particular focus on emerging markets.

“We are very pleased to having been able to conclude this agreement with Nestlé as it gradually replaces a significant part of the business that we earlier sold to them. It reflects the excellent partnership established,” said BioGaia president, Peter Rothschild.