Magnum HoldCo Takes the Lead in India’s Ice Cream Market with Kwality Wall’s Buy

There’s a big change coming to the ice cream aisle. Magnum HoldCo, a company based in the Netherlands, is set to buy a 61.9% stake in Kwality Wall’s (India) Limited from the Unilever Group. This move is part of Unilever’s plan to spin off its global ice cream business and let it operate as a separate company.

 

Unilever is splitting off its ice cream business worldwide. The new company will be called The Magnum Ice Cream Company, and the process should wrap up by the end of 2025.

In India, Hindustan Unilever Ltd (HUL) will carve out its ice cream division into a new company—Kwality Wall’s (India) Ltd (KWIL). If you own HUL shares, you’ll get one KWIL share for each HUL share you hold.

 

After this demerger, Unilever will own 61.9% of KWIL. This entire stake will be sold to Magnum HoldCo, which has already signed a deal for the purchase.

 

Before the deal is finalized, a few things need to happen: the demerger must go through, KWIL shares need to be listed on Indian stock exchanges, and all regulatory approvals must be secured.

Magnum HoldCo will also have to make an open offer to buy more shares from public shareholders, following Indian takeover rules.

This is part of Unilever’s bigger plan to focus on four main business areas and let the ice cream business stand on its own.

 

Brands like Kwality Wall’s, Cornetto, and Magnum will now be managed under this new setup, which could mean more attention and investment in the ice cream segment.

 

Source: Moneycontrol, Deccan Herald, NDTV Profit, Business Standard, Economic Times, The Hindu BusinessLine