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Hindustan Unilever (HUL) is trading lower by nearly 1% at Rs 797, extending its previous day’s 2.3% decline on the NSE, in an otherwise firm market after the company sold its bread and bakery business under the brand 'Modern' to Everstone Group.
The stock fallen 12% in past one-month from Rs 906 compared to 8.4% decline in the CNX Nifty. On Tuesday, it hit an intra-day low of Rs 785, its lowest level since January 1, 2015 on the NSE.
HUL, the fast moving consumer goods (FMCG) company on Tuesday announced that it has signed an agreement for the sale and transfer of its bread and bakery business under the brand ‘Modern’ to Nimman Foods Private Limited, an investee company of the Everstone Group, for an undisclosed amount.
“HUL’s decision to divest is in line with its strategy to exit non-core businesses, while continuing to drive its growth agenda in the core packaged foods business,” the company said in a BSE filing.
The transaction is subject to statutory approvals and requisite clearances. The deal includes sale and transfer of the ‘Modern’ brand and business on a going concern basis, it added.
The stock fallen 12% in past one-month from Rs 906 compared to 8.4% decline in the CNX Nifty. On Tuesday, it hit an intra-day low of Rs 785, its lowest level since January 1, 2015 on the NSE.
HUL, the fast moving consumer goods (FMCG) company on Tuesday announced that it has signed an agreement for the sale and transfer of its bread and bakery business under the brand ‘Modern’ to Nimman Foods Private Limited, an investee company of the Everstone Group, for an undisclosed amount.
“HUL’s decision to divest is in line with its strategy to exit non-core businesses, while continuing to drive its growth agenda in the core packaged foods business,” the company said in a BSE filing.
The transaction is subject to statutory approvals and requisite clearances. The deal includes sale and transfer of the ‘Modern’ brand and business on a going concern basis, it added.
