HUL will list Kwality Walls shares on the BSE and NSE under its demerged ice cream business, offering a 1:1 share ratio to stockholders.

The major FMCG company HUL made progress toward listing its defunct ice cream company on the National Stock Exchange (NSE) and the BSE. The corporation announced a 1:1 share ratio for its current owners, and the decision was accepted at a board meeting on January 22.

HUL stated in an exchange filing that for each share of HUL that the FMCG major's stockholders own, they will receive one equity share in the newly established company. After the process is over, Kwality Wall's (India) Limited, the demerged firm, will function as a separate, publicly traded business.

Earlier this month, HUL revealed that it has established Kwality Wall's as a new subsidiary in preparation for the planned demerger of the company's ice cream division.

"Kulity Wall's (India) Ltd was established "for the purpose of the proposed demerger of the firm's ice cream business, which is now under evaluation by the Board of the company," the FMCG major stated in a regulatory filing.

All of KWIL's issued and subscribed share capital will be owned by HUL.

The demerger of the ice cream company, which owns brands like Kwality Wall's, Cornetto, and Magnum, into an independent listed firm was approved by HUL earlier on November 25, 2024.

According to the statement, the current shareholders of the FMCG giant would get shares in the new company in proportion to their ownership stake in HUL.

On the advice of the Independent Committee, which was established by the FMCG major earlier in September 2024, the HUL board chose to de-merge the ice cream division.

According to the Independent Committee, the ice cream industry has a unique operating model that restricts synergies with the company's other businesses. This includes cold chain infrastructure and a unique channel landscape.

HUL's parent company, Unilever PLC, had stated earlier this year that it intended to divide its international ice cream operations among several nations.

HUL's revenue from product sales for the fiscal year that concluded in March 2024 was ₹59,579 crore.

In the December quarter, HUL's consolidated net profit increased by 19.18% to ₹2,989 crore.

In the same quarter of the previous fiscal year, Hindustan Unilever Ltd. reported a consolidated net profit of ₹2,508 crore, according to a regulatory filing.

Compared to ₹15,781 crore in the same period last year, consolidated total income for the third quarter of the current fiscal year was ₹16,050 crore.