Magnum Ice Cream to Acquire 61.9% Stake in Kwality Walls Ltd

Magnum Ice Cream Holdings, a company based in the Netherlands, has announced plans to acquire a 61.9% stake in Kwality Walls Ltd, a prominent Indian ice cream brand. The announcement was made to market regulators and stock exchanges, signalling a significant shift in the ownership structure of the ice cream market in India. The acquisition involves a total investment of ₹1,303.03 crore for approximately 61,08,93,729 equity shares. This move comes as Unilever Plc opts to sell its shares in Kwality Walls as part of a larger strategic restructuring.

Hindustan Unilever Ltd, which previously managed the ice cream brand, demerged Kwality Walls due to its unique operating model. The company highlighted that the ice cream business required a dedicated cold chain infrastructure for effective supply and distribution. Such logistical needs, along with the pronounced seasonality of the ice cream market and its capital-intensive nature, justified the separation from Hindustan Unilever's other operations.

The demerger was officially recognised on February 16, 2026, with Kwality Walls now functioning as a standalone public entity. On its market debut, Kwality Walls shares opened at ₹29.80 each on the National Stock Exchange (NSE), reflecting a 27% discount from the initial issue price of ₹40.20. As trading continued, the shares showed slight volatility, closing at ₹29.40, down 2% from their opening value.

Kwality Walls has established a significant presence in India, primarily operating in over 400 cities with a network of more than 200,000 retail outlets and over 15,000 ice cream push carts. The popularity of its brands, including Kwality Walls, Cornetto, and Magnum, has contributed to its position in the competitive market.

The move by Magnum Ice Cream Holdings is seen as a strategic acquisition to expand its footprint in the Indian ice cream sector, which is expected to contribute further to its portfolio in this high-growth industry. According to Hindustan Unilever's annual report for 2024-25, brands such as Kwality Walls are anticipated to play a critical role in meeting the growing consumer demand for chilled and frozen desserts.

This acquisition and subsequent listing mark a pivotal transition for both Magnum Ice Cream and Kwality Walls, setting the stage for enhanced competition and innovation within the sector. Market analysts will be closely observing the impacts of this ownership change on pricing strategies, product offerings, and market share dynamics in one of the world's fastest-growing ice cream markets.