HUL to Demerge Ice Cream Business into Kwality Wall's (India) Limited

In a significant strategic move, Hindustan Unilever Limited (HUL), one of India's largest consumer goods companies, is set to demerge its ice cream business under an independent entity called Kwality Wall's (India) Limited.

As part of British multinational consumer goods giant Unilever PLC's global separation plan for its ice cream unit, the ice cream segment of HUL is expected to operate as a standalone company within the next few months. The transaction will be carried out in partnership with Cyril Amarchand Mangaldas, who has been appointed as the sole legal advisor for this demerger.

This strategic move marks an important step towards creating long-term sustainable value from Unilever's global ice cream business, while allowing HUL to focus on its core consumer goods businesses. The deal is expected to receive necessary regulatory and shareholder approvals in due course.

The separation of HUL's ice cream business will see the formation of Kwality Wall's (India) Limited, which will retain the brand name that has been popular among Indian consumers for decades. This move aims to capitalize on the strength and brand reputation of the Kwality Wall's brand while providing a clear path towards growth and expansion.

The demerger is part of Unilever PLC's broader strategy to restructure its portfolio of businesses, with a focus on separating its global ice cream business into two independent entities.