Nestle Said to Explore Ways to Reduce $30 Billion L’Oreal Stake

Nestle SA is exploring ways to reduce its $30 billion stake in L’Oreal SA and has signaled its intentions to the management of the world’s largest cosmetics maker, people with knowledge of the matter said.

Nestle has raised the issue to L’Oreal at the highest levels and both sides have discussed the matter with banks, said the people, who asked not to be named because the talks are private. Any move to gradually reduce the 29 percent stake could take years, several of the people said, citing the size of the holding and the close, complex nature of the relationship between the companies and the Bettencourt family behind L’Oreal.