Shares of the Swiss company Nestle fell to an eight-year low amid a scandal related to the contamination of several batches of infant formula with harmful bacteria, Bloomberg reported.
The shares have fallen 38% from their peak in 2022, while those of Nestle's main competitors Danone and Unilever have risen by 32% and 28%, respectively. The scandal has deepened the company's ongoing sales decline and rising production costs. In particular, products under the Putina, Nespresso and KitKat brands have suffered a negative performance.
As previously reported, Nestlé announced a recall of several batches of infant formula, including SMA, BEBA and NAN, in 25 countries due to the possible presence of harmful bacteria and a toxin that causes nausea and vomiting. Nestlé says there have been no confirmed cases of infection or symptoms associated with any of the recalled products.