Unilever to Sell Majority Stake in Israel’s Strauss Ice Cream Business
Unilever has announced plans to sell its majority stake in Strauss Ice Cream, a key player in Israel’s frozen desserts market. The move is part of Unilever’s broader strategy to streamline its portfolio and focus on core brands, particularly following its global restructuring efforts earlier this year.
Strategic Exit from the Israeli Ice Cream Market
Unilever, which first acquired its controlling stake in Strauss Ice Cream in 1996, currently owns 51% of the company. The remaining 49% is held by Strauss Group, one of Israel’s largest food and beverage corporations. With this divestment, Strauss Group is now expected to explore opportunities to either take full control of the ice cream business or bring in a new strategic partner to ensure continued operations.
Strauss Ice Cream is among Israel’s top frozen treat brands, competing with global heavyweights such as Nestlé and local producers. Its diverse portfolio includes dairy-based and non-dairy frozen products, catering to a wide range of consumer preferences.
Industry Implications and Market Shifts
This divestment aligns with Unilever’s broader global strategy, which has included shedding non-core assets to enhance operational efficiency. Unilever’s ice cream division, which includes major global brands such as Magnum and Ben & Jerry’s, remains a strong category for the company, but this specific exit suggests a targeted refinement of its market presence.
For the Israeli FMCG sector, the sale could lead to shifts in competition and consumer offerings. A change in ownership could influence pricing strategies, product innovation, and distribution dynamics in Israel’s highly competitive frozen dessert landscape.
Next Steps for Strauss Group
With Unilever exiting, Strauss Group faces a critical decision on whether to fully acquire the ice cream business or seek external investment. The move also raises questions about potential regulatory approvals and competitive positioning within Israel’s food industry.
For FMCG professionals, this development highlights the importance of portfolio management in an evolving market. As multinational brands reassess regional investments, local players may gain opportunities to strengthen market leadership.