Nutella maker to pay $2.8 billion for Nestle U.S. candy unit

Nestle agreed to sell its U.S. confectionery unit to Ferrero, the Italian maker of Nutella, in the first substantial step away from the candy industry by the company that invented milk chocolate.

The sale of the unit, which includes the Butterfinger and Baby Ruth brands, is also the first major divestment by the Swiss food giant since Chief Executive…