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Nestle mandates JPMorgan to handle Yinlu sale - Bloomberg

FILE PHOTO: A logo is pictured during the 152nd Annual General Meeting of Nestle in Lausanne

ZURICH (Reuters) - Food giant Nestle <NESN.S> has mandated JPMorgan Chase & Co. to handle the sale of its struggling Chinese peanut milk business Yinlu that could be valued at about $1 billion, Bloomberg reported on Tuesday, citing sources familiar with the matter.

Nestle plans to sell a majority stake in Yinlu, whose sales declined last year, but could retain a small holding to oversee the production of Nescafe ready-to-drink coffee that Yinlu co-manufactures in China.

First-round bids could be due in late April or early May, if the coronavirus outbreak does not delay the process, Bloomberg reported.

Nestle could not immediately be reached for comment.

(Reporting by Silke Koltrowitz)