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Unilever to separate Ice Cream Unit, cut 7,500 jobs in major restructuring

*Unilever’s latest move to separate its ice cream business unit and hack thousands of jobs is part of a broader restructuring as CEO Hein Schumacher tries to jumpstart growth in the conglomerate

Isola Moses | ConsumerConnect

Unilever Plc plans to separate its ice cream business that includes brands, such as Ben & Jerry’s and Magnum, as Chief Executive Officer Hein Schumacher streamlines the UK consumer-goods giant by cutting 7,500 jobs.

It was gathered
Fast Moving Consumer Goods (FMCG) company said a range of options would be considered for the separation, with a demerger that creates a new listed company being the most likely option.

ConsumerConnect reports Unilever Plc, a British multinational Fast-Moving Consumer Goods company, was established September 2, 1929, following the merger of British soap maker Lever Brothers and Dutch margarine producer Margarine Unie. The conglomerate is headquartered in London, United Kingdom (UK).

Unilever, which also owns Hellmann’s mayonnaise and Domestos cleaners, said the ice cream business had sales of €7.9 billion ($8.6 billion) in 2023, according to report.

ConsumerConnect learnt the entire move is part of a broader restructuring as Schumacher tries to jumpstart growth.

Unilever said the job cuts are part of a plan to achieve €800 million in cost savings in the next three years, report noted.

Unilever shares reportedly fell 6.6 percent over the past year.

The restructuring will leave the company focused on four businesses: beauty and wellbeing, personal care, home care and nutrition. Rival Nestle SA previously separated its ice cream business by setting up a joint venture with private equity firm PAI Partners, report stated.

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