Unilever may spin off its food business into a separate company

Unilever is considering spinning off its food division to focus on beauty and health, Bloomberg reports, citing sources familiar with the matter. According to them, the company is already in consultations and exploring restructuring options.

The potential spinoff of all or part of the food business is under consideration. Sources note that the discussions are in the early stages, no decision has been made, and the company may retain the current structure. They estimate the value of the food assets could be in the tens of billions of dollars.

The company’s food brand portfolio includes Hellmann’s, Knorr, Colman’s, Maille, and Marmite.

Unilever is already reducing its presence in the food segment. In 2025, the company spun off its ice cream business into a separate entity, Magnum Ice Cream Co., retaining about a 20% stake with plans to sell it later, Bloomberg reports.

In recent years, the company has also sold its spreads division, the Graze brand, and plant-based meat producer The Vegetarian Butcher.

Bloomberg points out that consumers are cutting back on spending and increasingly opting for cheaper private-label products. Against this backdrop, large food companies such as Unilever and Nestlé SA are struggling to sustain growth.

An additional factor is the growing popularity of weight-loss products, which is driving down calorie intake.

Tags: Unilever