Unilever is evaluating the possibility of spinning off its food business as part of a broader strategic shift to strengthen its focus on beauty and health.
According to industry reports, discussions are currently at an early stage, with multiple restructuring options under consideration. These include a partial or full separation of the food division, although no definitive decision has been made and retaining the existing structure remains on the table. The food portfolio is estimated to be worth several tens of billions of dollars.
The division houses a portfolio of globally recognised brands such as Hellmann’s, Knorr, Colman’s, Maille, and Marmite.
The move would be in line with Unilever’s ongoing efforts to reduce its exposure to the food segment. In 2025, the company carved out its ice cream business into a standalone entity, Magnum Ice Cream Co., while retaining an approximate 20% stake with plans for gradual divestment. It has also exited several food-related businesses in recent years, including its spreads division, the Graze snacking brand, and plant-based meat company The Vegetarian Butcher.
This strategic rethink comes amid broader industry challenges. Slowing consumer spending and a growing shift toward private-label alternatives are putting pressure on established FMCG players such as Nestlé. At the same time, the increasing adoption of weight-loss treatments is influencing consumption patterns, leading to reduced calorie intake and impacting demand across food categories.
