Unilever's Ice Cream Unit May Find Home In Amsterdam Over London: Report

Author: Shivani Kumaresan | March 25, 2024 11:07am

Amsterdam may reportedly take the lead over London in potentially hosting Unilever Plc’s (NYSE:UL) ice cream unit listing, valued at €17 billion ($18.4 billion).

While the final listing decision remains pending, the Dutch government advocates for Unilever’s adherence to its commitment of favoring the Netherlands for listing its broader food business, including the iconic Ben & Jerry’s and Magnum brands, reported Bloomberg.

“The most likely route is to split off with a separate stock exchange listing and its own head office,” the report cited company CEO Hein Schumacher.

Last week, the consumer giant said it would separate its Ice Cream business and focus on a portfolio of brands with strong positions in attractive categories with complementary operating models.

Related: Chilling Changes: Unilever To Separate Iconic Ice Cream Brands In Strategic Shake-Up

Schumacher emphasized the importance of a conducive business climate, indicating ongoing discussions with the Dutch Finance Ministry to address concerns and ensure predictability.

Schumacher outlined the various options under consideration, including an IPO, with a definitive decision expected within the next 18 months.

In 2018, Unilever’s plan to relocate its headquarters to the Netherlands was reportedly scrapped, highlighting the complexities of such decisions amidst shareholder interests and political dynamics.

Unilever’s commitment to listing its ice cream unit in the Netherlands underscores the strategic importance of the region and its role in Unilever’s future trajectory.

Price Action: UL shares are trading higher by 0.30% at $50.14 on the last check Monday.

Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.

Photo via Wikimedia Commons

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