Unilever is keeping its Russian ice-cream business, despite plans to sell its frozen dessert brands.
Magnum and Ben & Jerry’s owner, Unilever, is considering a possible sale or IPO for its ice-cream brands. These brands generate annual revenues of about €8bn (£6.9bn) and are valued at around €8bn. Unilever announced on Thursday that it would not include the Russian ice-cream business in the sale, as the Russian division has been separated from the rest.
Unilever’s plans to keep its Russian ice-cream operations despite pressure to leave the country following Vladimir Putin’s invasion in Ukraine.
Unilever has been labelled an “international war sponsor” by the Ukrainian Government, which published until recently a list that it considered to be indirectly supporting the war.
Unilever, which still does business in Russia, has stopped all advertising and has halted its imports and exports.
Mr Schumacher stated last year that staying in Russia is the ” best option”. If it were to leave, the Russian government could seize its operations.
Mondelez, the Cadbury owner, and Nestle are also major food and beverage companies that have taken similar positions.
Unilever owns four ice-cream factories in Russia. Unilever sells Cornetto, Carte D’Or, Magnat (a Russian version Magnum), Max, which is similar to Twister and Golden Standard, an ice cream in Soviet style.
Ice cream production in Russia dates back to the Soviet era.
Anastas Mikoyan, a Soviet politician who visited the United States on a goodwill mission in the 1930s, was the driving force behind the boom in ice-cream production.
Mikoyan implemented strict controls which forced producers to adhere state standards regarding ingredients and production methods.
The Soviets had three main types of ice cream.
Golden Standard is one of the Russian manufacturers that still makes ice cream according to these specifications.
Stalin allegedly accused Mikoyan of being more interested in ice cream and Communism than he was.
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