Shares of Kwality Wall’s India Ltd. are set to hit the bourses on Monday, February 16, following the demerger of the ice cream business from Hindustan Unilever Limited.HUL had gone ex-ice cream business on December 5, with shareholders receiving one equity share of Kwality Wall’s India Ltd for every one share held in HUL.
The ice cream division accounted for roughly 3% of HUL’s overall revenue.
The business is estimated to be worth between ₹1,800 crore and ₹2,000 crore in annual revenue, operating at low single digit margins.On the day of the demerger, HUL’s stock price was adjusted by about ₹44 per share.
Based on that adjustment and implied market calculations, the ice cream business has been valued in the range of ₹10,000 crore to ₹12,000 crore.
The listing will now provide investors a clearer picture of the standalone valuation and growth trajectory of the ice cream business, which was earlier housed within HUL’s broader FMCG portfolio.
