Unilever plc (LON:ULVR) or Unilever plc (ADR) (NYSE:UL) is reportedly getting ready to divest some of its food brands. The move comes in the wake of the company rejecting an unsolicited takeover bid for $143 billion from Kraft Heinz Co (NASDAQ:KHC).
Reuters quoted British newspapers as having reported that Unilever is trying to get $7.44 billion or six billion pound from the sale of certain food brands. The company is reportedly ready to divest its Flora margarine, as well as, Stork butter brands.
Though Unilever did not confirm the reports appearing in British media, it appears that private equity firms such as Clayton Dubilier, CVC, Rice and Bain Capital have showed interest. They seem t be working on suitable bid for the ‘spreads’ business.
Following the rejection of Kraft Heinz bid last month, the British firm has unveiled a business review plan. This would enable it to review and ponder over returning cash to its shareholders. The company is also keen to acquire medium-sized companies. The company is keen to adopt more aggressive effort to cut costs.