HUL may scoop out its not-so-vanilla ice-cream business

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Hindustan Unilever Ltd (HUL) is exploring the option of turning its ice-cream business into a separate unit in possible preparation for eventual sale, said people with knowledge of the matter...

This comes in the wake of parent Unilever's decision to spin off its ice-cream unit to focus on segments that have a similar operating model and supply chain...

The ice-cream business requires a distinct approach to manufacturing and distribution...

For India's biggest consumer goods company, the ice-cream category accounts for 2,000 crore, or roughly 3% of its total sales, with brands such as Magnum and Kwality Wall's in its cart..

Industry executives said it's unlikely an existing player in India will buy HUL's ice-cream business and any sale could be to a multinational or to private equity firms..

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