HUL likely to spin-off ice-cream business into separate unit following Unilever

For HUL in India, the ice-cream business accounts for Rs. 2000 crore or around 3 percent of total sales. It includes popular brands like Magnum and Kwality Wall’s.

By  Storyboard18Apr 5, 2024 9:54 AM
HUL likely to spin-off ice-cream business into separate unit following Unilever
In the ice-business, HUL is second in line behind Amul. It also competes with local brands like Vadilal, Naturals, Mother Dairy, Havmor, and Baskin Robbins along others.

Hindustan Unilever (HUL) is pondering turning its ice-cream business into a separate unit for the possibility of a potential sale in the future, reported ET.

The news comes following Unilever’s announcement of spinning off its ice-cream unit, which includes popular brands like Magnum and Ben & Jerry’s.

For HUL in India, the ice-cream business accounts for Rs. 2000 crore or around 3 percent of total sales. It includes popular brands like Magnum and Kwality Wall’s.

In the ice-business, HUL is second in line behind Amul. It also competes with local brands like Vadilal, Naturals, Mother Dairy, Havmor, and Baskin Robbins along others.

ET also reported that HUL’s ice-cream business is unlikely to be bought by any Indian player due to the significant difference in the ice-cream category’s business model. It might be sold to a multinational or to private equity firms. The strategy behind this will be determined by what Unilever chooses to do with its ice-cream business.

Earlier, Unilever CEO Hein Schumacher said on a call with journalists that the ice cream business is currently in the process of moving to a new head office in Amsterdam. However, he said that he is still open to options on where to list the new company.

Unilever’s ice-cream business accounts for around 16 percent of the company’s global sales and in some countries it accounts for a third or about 40 percent, reported Reuters.


Tags
First Published on Apr 5, 2024 9:54 AM

More from Storyboard18

Quantum Brief

Paytm to increase marketing spends in FY 25; experts chart the comeback plan

Paytm to increase marketing spends in FY 25; experts chart the comeback plan

Quantum Brief

Honasa Consumer Ltd records highest ever quarterly PAT of Rs. 30 Cr; Mamaearth revenue rises 21 percent

Honasa Consumer Ltd records highest ever quarterly PAT of Rs. 30 Cr; Mamaearth revenue rises 21 percent

Quantum Brief

OpenAI and News Corp announce multi-year partnership

OpenAI and News Corp announce multi-year partnership

Quantum Brief

Mamaearth-parent Honasa Consumer has highest number of ad violations: ASCI Complaints Report

Mamaearth-parent Honasa Consumer has highest number of ad violations: ASCI Complaints Report

Quantum Brief

DS Group's confectionery business touches Rs 1,000 cr sales turnover in FY24

DS Group's confectionery business touches Rs 1,000 cr sales turnover in FY24

Quantum Brief

ZEE Layoffs: Earlier stated aim of 15% workforce reduction results in more job cuts?

ZEE Layoffs: Earlier stated aim of 15% workforce reduction results in more job cuts?

Quantum Brief

FSSAI finds no EtO traces in spice samples of MDH and Everest

FSSAI finds no EtO traces in spice samples of MDH and Everest

Quantum Brief

ZEEL reports profit of Rs.13.35 crore in Q4FY24

ZEEL reports profit of Rs.13.35 crore in Q4FY24