Unilever delays Magnum Ice Cream demerger as US SEC halts filings amid government shutdown

Unilever has delayed its plan to demerge ice cream brand Magnum, reports Reuters. According to the company, the US government shutdown is forcing it to push the spin-off at present. The company initially planned to list the shares of its ice cream brand in several markets in Europe and the US starting mid-November. However, it seems to have been postponed further.

A Bloomberg report mentioned that the US Securities and Exchange Commission (SEC) is unable to provide the US registration statement. This is an essential requirement to list the shares of the ice cream brand on the New York Stock Exchange.

Unilever-Magnum Ice Cream deal

Unilever, also known for its goods like Dove soap, earlier posted on the company website that The Magnus Ice Cream Company (TMICC) is planning to separate from the brand. It will operate as a standalone company, titled TMICC. The company was announced to be incorporated in the Netherlands. Meanwhile, its shares were expected to be listed on the Amsterdam, London, and New York stock exchanges in November 2025.

Unilever also mentioned that it will initially hold close to 20% of the ice cream brand, which will be sold off gradually. The demerger was planned to be effective starting Q4. The company has reportedly been planning to split off its ice cream brand since last year. This was being done to revamp the business and attract more revenue, reports Bloomberg. TMICC is headed by Peter ter Kulve, who has already started to build his global team. The supply chain optimization is already in progress.

US government shutdown

The US federal government went into shutdown starting October 1, following a stand-off between Democrats and Republicans regarding legislation funding. The shutdown has resulted in several IPOs being put on hold for the time being, reported CNBC. Companies avoid being listed on Wall Street during such a time.

Despite the delay, Unilever is already in good spirits. The company mentioned that it is already progressing well with the demerger. It also held a general meeting on Tuesday. The shareholders are reportedly in favor of the proposed consolidation. The company will be announcing new timelines for the demerger soon.

FAQs

1. Why is the Magnum demerger delayed?

The US government shutdown has prevented the SEC from processing necessary registration filings.

2. Where was Magnum Ice Cream supposed to be listed?

Shares were to be listed on the Amsterdam, London, and New York exchanges from November 2025.

3. What will the new company be called?

The new standalone entity will be called The Magnum Ice Cream Company (TMICC).