Unilever says ice cream spin-off delayed by US government shutdown

Unilever has warned the demerger of its ice cream business has been pushed back by the US federal government shutdown.

The consumer goods giant is currently pushing ahead with the spin-off of the Magnum Ice Cream Company, which also owns Ben & Jerry’s and Cornetto.

However, it told shareholders on Tuesday the US Securities and Exchange Commission is currently unable to approve its registration for a listing on the New York Stock Exchange.

The new business will have a primary listing in Amsterdam but will also have secondary listing in New York and London.

The spin-off had been expected to take place next month, with its Dutch listing planned for November 10.

Unilever stressed it is still “confident” of launching the demerger later this year despite the delay.

The delay was linked to the federal government shutdown which started on October 1, after a row between Democrats and Republicans over budgets.

In a statement, the company said: “The preparatory work for the demerger is on track and progressing well, and Unilever remains committed to and confident of implementing the demerger in 2025.

“Further updates on the revised timetable will be provided as soon as practicable.”

Unilever shareholders will meet later on Tuesday to vote on a share restructuring ahead of the demerger.