The National Company Law Tribunal (NCLT), Mumbai Bench, has approved Hindustan Unilever Limited’s (HUL) plan to demerge its ice cream business into a new entity — Kwality Wall’s (India) Ltd (KWIL). The demerger will see HUL transfer its entire ice cream portfolio, including brands such as Kwality Wall’s, Cornetto, Magnum, Feast, and Creamy Delight, to KWIL.
The ice cream division, which contributes about Rs 1,800 crore annually (roughly 3% of HUL’s total turnover), will now operate as a separate company. As per the approved scheme, HUL shareholders will receive one share of KWIL for every HUL share held.
Post demerger, Magnum HoldCo, a Unilever subsidiary, will hold a 61.9% stake in KWIL, while HUL shareholders will own the remaining 38.1%. The move aims to unlock value and allow a sharper business focus, with the demerger expected to be completed by the end of FY26.
