Hindustan Unilever Limited Demerger

Hindustan Unilever Limited Demerger: What Investors Need to Know

Hindustan Unilever Limited has announced a demerger of its ice-cream business. Under this arrangement, Hindustan Unilever (HUL) is demerging its ice-cream business into a new, independent company called Kwality Walls (India) Ltd (KWIL). Existing shareholders of HUL are set to receive KWIL shares on a 1:1 basis.

Key Date:

Record Date for Shareholders: 5th December, 2025

Impact on Shareholders:

1. Portfolio:

a. For every one share of Hindustan Unilever Limited held, eligible shareholders will receive one share of Kwality Walls (India) Ltd (KWIL).  No additional investment  is required to receive these shares.

b. After the demerger, equity shareholders will hold shares in two companies – Hindustan Unilever Limited and Kwality Walls (India) Ltd (KWIL).

c. There will be a drop in the portfolio on record date.

2. MTF Positions:

a. Customers  can  continue to hold existing MTF Positions of Hindustan Unilever Limited during the demerger.

b.  Margin requirement  will increase effective 03 December, 2025 (Friday EOD).

c. Customers need to actively monitor the existing positions and maintain sufficient margin to avoid square off of existing positions.

d. A special pre-open session for  price discovery  will be held on  5th December, 2025 (Tuesday), from 9:00 AM to 10:00 AM.  Buying and Selling of Hindustan Unilever Limitedstock through MTF will not be allowed during this session.

e. Buying and Selling of Hindustan Unilever Limited stock under MTF Product will not be allowed during this session.

3. F&O Positions:

A. Expiry of Existing Contracts

• All existing Hindustan Unilever Limited F&O contracts with expiries on December 30, 2025 , January 27, 2026 and February 24, 2026, will now expire early on December 04,2025 (Thursday).
• These contracts will be physically settled if not squared off before market hours on December 04, 2025.
• ICICI Direct systems will attempt to close positions if not marked for delivery.

a.)  All Options – by 12:30 PM

b.)  All Futures – by 2:30 PM (unless marked for physical delivery).

B. Introduction of New Contracts

• Fresh F&O contracts will be available from December 05, 2025 (ex-date).
• Expiry dates for these contracts remain unchanged: December 30, 2025 , January 27, 2026 and February 24, 2026