Deal is not first step towards L'Oreal's exit: Nestle
PARIS (Reuters) - The deal under which Nestle (NESN.VX) will cut its stake in L'Oreal (OREP.PA) does not pave the way towards a full Nestle's exit from the capital of the French cosmetics group, Nestle's chairman Peter Brabeck said on Tuesday.
"This sale is not a first step towards an exit" Brabeck told a news conference.
On Tuesday, L'Oreal said it would buy 8 percent of its capital for 6.5 billion euros ($9 billion) from Nestle, boosting the French cosmetics group's earnings per share by more than 5 percent.
The deal will cut Nestle's stake in L'Oreal to 23.29 percent from 29.4 percent while the Bettencourt Meyers family's stake in L'Oréal will increase from 30.6 percent to 33.31 percent.
(Reporting by Pascale Denis, writing by Dominique Vidalon, editing by Astrid Wendlandt)