Consumer-foods giant Nestle will sell its mainstream vitamins, supplements and minerals business for $1 billion to Boston-based private-equity firm Yellow Wood Partners. The portfolio of seven brands being sold includes Nature's Bounty and Sisu supplements. Together, the primarily U.S.-based business had sales of $1.2 billion last year. The brands are also present in markets including Canada and China.

Nestlé said the planned sale is part of its efforts to focus on areas where its innovation and brand-building capabilities give it a leg up on competitors. In particular, the company sees opportunity to grow in the premium, science-led vitamins, minerals and supplements space, where its brands like Solgar and Pure Encapsulations continue to perform strongly, Chief Executive Philipp Navratil said.

The Switzerland-based group this summer struck a deal to partly offload its waters business into a joint venture with private investor Platinum Equity, mirroring a move earlier in the year to move away from its in-house ice-cream business. The divestments are part of an overhaul under Navratil to structure the company around four businesses: coffee, petcare, nutrition and food.

Yellow Wood Partners said the brands it's acquiring lead in high-growth categories like hydration, gut health and immunity. The firm expects that operating the portfolio as a standalone business will allow it to accelerate the brands' growth, boost innovation and improve their market positions. The deal is set to close by the first half of next year, subject to regulatory approvals, Nestle said.