By IBTeam Unilever, the global consumer goods giant, is considering divesting several food brands with combined annual sales of approximately €1 billion ($1.05 billion), according to CEO Hein Schumacher in an interview with the Dutch financial daily FD on Monday. This move is part of the company’s broader strategy to streamline its food division and concentrate on its core strengths.
While Schumacher did not disclose the specific brands up for sale, reports from earlier this month suggest that Unilever is exploring the divestiture of Dutch staples such as Unox soups and Conimex seasonings, alongside smaller food brands in the UK and other European markets.
The company, which manages a portfolio of roughly 400 brands, has been recalibrating its operations to focus on its top 30 “power brands.” This strategic pivot aims to prioritize growth in high-margin categories such as sauces, condiments, and professional kitchen products, particularly in the restaurant and hospitality sectors.
In March, Unilever announced plans to spin off its ice cream business, which includes global heavyweights Magnum and Ben & Jerry’s. This is in line with its vision to create a leaner, more strategically aligned portfolio.
Schumacher emphasized that brand rationalization is not a rushed sell-off. “We are not conducting a fire sale,” he stated. “There will always be brands that are not a perfect strategic fit but will remain part of Unilever.”
This latest development underscores Unilever’s commitment to repositioning itself in a competitive consumer goods landscape. With the euro trading at $0.9503, the proceeds from these potential divestitures could provide a financial boost as the company sharpens its focus on market dominance in select categories.