Hindustan Unilever Ltd (HUL) announced that it has received approval from the National Company Law Tribunal (NCLT) to demerge its ice-cream business into a separate entity, Kwality Wall’s (India) Ltd (KWIL). The Mumbai bench of NCLT approved the Scheme of Arrangement under Sections 230–232 of the Companies Act. This restructuring aligns with Unilever’s global Growth Action Plan (GAP), which aims to spin off its ice-cream division globally.
As part of the plan, HUL will transfer all its ice-cream brands—Kwality Wall’s, Cornetto, Magnum, Feast, and Creamy Delight—to KWIL. HUL shareholders will receive one share of Kwality Wall’s for every HUL share held, while Unilever’s Magnum HoldCo will own 61.9% of the new company, with the remainder held by HUL shareholders.
The ice-cream segment, contributing about 3% to HUL’s turnover, requires large investments to reach full potential. All related assets, liabilities, five plants, and 1,200 employees will move to KWIL, which will begin debt-free. KWIL is expected to list in Q4 FY26. The move will allow HUL to focus on its core businesses—Beauty, Foods, Health, and Wellbeing—while unlocking value and giving shareholders exposure to a standalone, growth-focused ice-cream enterprise.