Home / Business and Economy / HUL's Ice Cream Spin-Off Sparks Market Battle
HUL's Ice Cream Spin-Off Sparks Market Battle
10 Dec
Summary
- HUL spins off its ice cream arm into Kwality Walls India.
- Investors gain a pure-play multinational ice cream stock opportunity.
- Kwality's INR1,800-crore market share faces stiff competition.
Hindustan Unilever Limited (HUL) has initiated a significant corporate restructuring by spinning off its ice cream business into a new entity, Kwality Walls India. This move presents a unique opportunity for investors to acquire shares in a dedicated, pure-play multinational ice cream company. The establishment of Kwality Walls India marks a pivotal moment, potentially reshaping the competitive landscape of the Indian frozen dessert market.
While Kwality Walls India enters the market with a notable INR1,800-crore footprint, it faces a formidable challenge. The overall Indian ice cream market is valued at INR30,000 crore and is currently dominated by cooperative giant Amul. Furthermore, established brands such as Vadilal and Havmor also hold significant market share, indicating a highly competitive environment.
