Unilever (LON:ULVR) has updated investors on its simplification process, noting that it is set to conclude in December. The Anglo-Dutch consumer goods giant has been looking to simplify its dual corporate structure in an effort to unlock value for shareholders following Kraft-Heinz’s failed bit.
Unilever’s share price has been little changed in London this morning, having inched 0.04 percent lower to 4,270.00p as of 08:10 BST, marginally outperforming the benchmark FTSE 100 index which currently stands 0.30 percent lower at 7,256.93 points. The group’s shares have lost more than five percent of their value over the past year, as compared with about a two-percent dip in the Footsie.
Unilever updates on simplification
Unilever announced in a statement this morning that its simplification into one holding company incorporated in the Netherlands, and to be listed in London, Amsterdam and, in the form of American depositary shares, New York, is expected to complete over the weekend of 22 and 23 December 2018, with dealings in New Unilever NV shares commencing on Monday, December 24.
The consumer goods giant, however, cautioned that the process was subject to certain conditions, including the approval of shareholders in NV and PLC, with the relevant shareholder meetings to take place in Rotterdam and London on October 25 and October 26, respectively. The meetings will come amid investor concerns over the Anglo-Dutch group’s decision to move its headquarters to the Netherlands.
Analysts on consumer goods giant
Goldman Sachs lifted its stance on Unilever to ‘neutral’ last week, hiking its price target on the shares from 3,900p to 3,800p, while Barclays remains ‘overweight’ on the group, valuing the stock at 4,730p. According to MarketBeat, the Anglo-Dutch consumer goods giant currently has a consensus ‘hold’ rating and an average price target of 4,430.63p.