Mumbai, March 6, 2026, 13:38 IST
Hindustan Unilever, the India arm of Unilever PLC, has wrapped up the sale of its full 19.8% holding in Nutritionalab Private Limited. The deal fetched around 307 crore rupees, or about 3.07 billion rupees in total, according to a March 4 filing with the stock exchange.
This shift is significant right now as HUL puts more money behind premium, high-growth segments. On Feb. 18, the company announced plans to invest as much as 2,000 crore rupees over two years to boost manufacturing for Beauty & Wellbeing and Home Care liquids. CEO Priya Nair described the move as a way to “scale our brands and create categories of the future.” Unilever
Unilever is searching for growth following the spinoff of its Magnum ice cream business. Last month, the company said it expects 2026 sales growth to hit the lower end of its 4% to 6% target as demand softens in the U.S. and Europe. CEO Fernando Fernandez pointed to beauty, wellbeing, and personal care as future growth drivers, highlighting India and the United States as key markets. Unilever
Back on Feb. 12, HUL’s board gave the green light for two big moves: the Nutritionalab exit and snapping up the final 49% stake in OZiva. The investor deck from that day described it as “portfolio transformation”—and a push to “double down on fewer, bigger bets.” nSearchives
During the earnings call, finance chief Niranjan Gupta told analysts the company is now “swifter in our actions and more decisive” about portfolio rotation. Gupta noted that HUL had previously backed both OZiva and Nutritionalab, but the team decided to “double-down on OZiva.” He stressed the sale wasn’t “anything to do with the performance” of the other business. nSearchives
India’s consumer market isn’t standing still. Akshay D’Souza, an independent consultant in the sector, pointed last month to “a large flurry of D2C brands”—those direct-to-consumer outfits that thrive online. He figures Hindustan Unilever will keep buying up names as consumer tastes keep evolving. Reuters
Unilever’s portfolio overhaul isn’t happening in isolation. Reckitt, just this week, highlighted that it—along with competitors like Nestle and Unilever itself—has been steering its focus toward higher-growth, higher-margin brands. Last month, Nestle revealed it was negotiating a sale of its last in-house ice cream business, coming on the heels of Unilever’s December spin-off of Magnum. Reuters
Still, just slimming down the portfolio won’t patch up HUL’s margins. Last month, the company’s quarterly profit dropped 15% after price cuts and heightened rivalry took a toll. D’Souza pointed to distribution-led growth, fewer new launches, and higher acquisition costs as factors dragging on performance. Ajay Thakur at Anand Rathi highlighted the 4% volume growth as a “bright spot.” Yet for investors, the real question now is whether HUL’s premium push can boost earnings—without letting margins slip further. Reuters
