Unilever's Amsterdam Ice Cream Listing: A Setback for London

Unilever, maker of Ben & Jerry's, plans to list its ice cream division in Amsterdam, sidelining London and New York. This decision comes amidst underwhelming earnings and market growth forecasts, leading to a 7% share drop. The move disappoints UK officials aiming to attract more stock listings.

Unilever, the renowned maker of Ben & Jerry's, has opted for Amsterdam over London and New York as the primary listing location for its ice cream division. This decision follows a less than robust earnings report that left investors dissatisfied. Forecasts for slower growth in early 2025 further compounded the issue, prompting a significant 7% drop in Unilever's shares, erasing about 8.5 billion pounds from its market valuation.

Tineke Frikkee, portfolio manager at Waverton Investment Management, attributed the decline to a lack of positive momentum for the first half of 2025 and apprehensions about meeting quarterly forecasts. Despite fourth-quarter sales growth of 4%, it narrowly missed analysts' expectations. Unilever forecasts its 2025 sales growth to remain within a 3% to 5% range.

This strategic move to Amsterdam, announced by CEO Hein Schumacher, includes a separation of the ice cream division through a demerger and additional job cuts to counter years of underperformance. While the decision has disappointed UK officials like finance minister Rachel Reeves, it signals Unilever's trust in the Netherlands' economic climate as expressed by Dutch economic affairs minister Dirk Beljaarts.