Unilever abandons plans to move headquarters after investor pressure

Unilever abandons plans to move headquarters after investor pressure

However, Unilever - whose brands also include PG Tips and Lipton tea, Persil washing powder and Magnum ice cream - has throughout insisted the move to Rotterdam was "nothing to do with Brexit".

Unilever (LON:ULVR) is dropping its plans to scrap its dual-headed structure and create a single holding company in the Netherlands, the Anglo-Dutch consumer goods giant has said.

Shareholder Ali Miremadi of Swiss asset manager GAM said that sometimes Unilever shareholders had been made to feel their concerns about performance were very near-term, whereas Unilever preferred to focus on the long term.

The company chose to review its dual corporate structure after fending off a £115,000,000,000 takeover bid by USA food giant Kraft Heinz a year ago.

Despite Unilever's efforts to rally support for the plan, investors representing 10% or more of the company's shares outstanding pledged to vote it down, with new names joining the dissidents nearly daily over the last few weeks.

Waldschmidt said the bigger drivers for Unilever's shares were US interest rates and continued difficulties in emerging markets, particularly related to their currencies.

Shareholders representing about 12% of Unilever had publicly opposed the move, concerned about the effective forced selling of their shares with no premium, uncertainty around the future tax treatment of Dutch dividends and a perception that the move was partly aimed at securing greater takeover protection under Dutch law. They were anxious about the effective forced selling of their shares with no premium, uncertainty around the future tax treatment of Dutch dividends and a perception that the move was partly aimed at securing greater takeover protection under Dutch law.

But on Friday Unilever recognised that the proposal had not received support from a significant group of shareholders.

20 dead in upstate NY crash involving limousine, state police say
Six ambulances, three fire companies, and two helicopters were at the accident site, according to the Albany Times Union . It is unclear what caused the crash, but the National Transportation Safety Board sent a team to investigate.

United States unemployment falls to 48-year low in September
Fortunately, most of the numbers are still looking quite positive for the economy and for the labor market in general. Over 200,000 jobs were added, and earnings growth topped 2.9 percent for the first time since May of 2009.

Manchester City's Raheem Sterling must handle Liverpool returns better - Pep Guardiola
Sturridge faces a tough time breaking into Klopp's preferred front three of Mohamed Salah , Roberto Firmino and Sadio Mane. Dejan Lovren makes his first start of the season, partnering Virgil van Dijk at the heart of the Liverpool defence.

The board continues to believe that simplifying our dual-headed structure would, over time, provide opportunities to further accelerate value creation and serve the best long-term interests of Unilever.

'The board will now consider its next steps and will continue to engage with our shareholders.

Unilever was formed in 1929 with the merger of UK's Lever Brothers and the Dutch company Margarine Unie.

Unilever has indicated that there should not be consequences in terms of employment and meant to retain its three multiple listings on Stock exchanges in London, Amsterdam and NY.

Earlier this week, influential proxy advisory firm PIRC recommended shareholders vote against the move.

When the plan was announced it landed a major blow to the United Kingdom government's effort to promote Britain as a centre for business post-Brexit.

Mark Rutte is now putting all his weight into the balance within the coalition government to vote on the removal of the tax on dividends, in order to attract multinationals.

Unions had also come out against Unilever's planned move, arguing that it was vital for the maker of Ben & Jerry's ice cream and other companies to stay in the UK.

Related:

Comments

Latest news

Brett Kavanaugh sworn in as 114th Supreme Court justice
Throughout the day Saturday, hundreds of protesters - many dressed in black garb - descended on the east steps of the Capitol. The Kavanaugh vote may be a pivotal moment in the November 6 midterm elections, where control of Congress is up for grabs.

Hazard On Target As Blues Go Top
The Spaniard went ahead to seal Chelsea's 3-0 win at stoppage time , as Hazard slid in for Morata to score from close range. It should be noted that Manchester City and Liverpool have a game in hand each to get back to the top of the table.

New York Giants: 3 things to watch for against the Carolina Panthers
"It's not like he's out there and coach calls "Cover 3" and he's going to take a knee and let a guy run by him". Expect Barkley to either double his carries this week or have backup Wayne Gallman carry more than twice.

US Senate Leader Hails Kavanaugh's Vote As 'Proudest Moment'
Besides the accusations of sexual misconduct, another issue - abortion rights - mobilised the opposition to Kavanaugh. She said the silver lining in the whole is that more women will press charges now when they are sexually assaulted.

Atiku Abubakar emerges PDP’s presidential candidate
Former Nigerian Vice President Atiku Abubakar attends an interview with Reuters in Abuja, Nigeria May 11, 2018. He said, "Honestly, when we compare Atiku with others, you will see him as somebody who has paid his dues".

Pep Guardiola: Riyad Mahrez had the balls to take the penalty
The extent to which that was City's doing and to which it was down to Liverpool being a little off-colour is hard to say. We can not forget against which team we compete and we made that performance.

Rangers end Hearts’ unbeaten start as Celtic hit six at St Johnstone
The amount of rest time between the fixtures is the same, so it leaves me really struggling to work out what is the difference. But they have gelled magnificently well. 'I see us being stronger as well and that makes it a good game on Sunday'.

Donald Trump: Africans Love Melania
Trump met with her counterpart, Kenya's first lady Margaret Kenyatta , and attended a theatre performance. The first lady was greeted by Malawi's first lady, Gertrude Mutharika, when she arrived in the country.

Interpol chief Meng Hongwei under investigation, China says
INTERPOL President Meng Hongwei poses during a visit to the headquarters of International Police Organisation in Lyon, France. Meng had been reported missing by his wife after traveling last month from France , where Interpol is based, to China.

Now Book Uber/Ola Using Google Assistant on Your Smartphone
As for compatibility, the new feature is compatible with smartphones and smart speakers which have Google Assistant integrated . The app will ask you to choose from popular ride-hailing service like Ola, Uber, Grab, and Lyft along with a price estimation.

[Match Highlights] Fulham 1-5 Arsenal - All The Goals And Best Bits
Aubameyang added a fourth as he swivelled on low cross from Bellerin before side-footing the ball into the far corner. Ramsey did eventually come on for Iwobi in the 67th minute and within 40 seconds he made it 3-1 with a lovely finish.

Conservative Judge Brett Kavanaugh Confirmed After Heated National Debate
Then in June this year, Justice Anthony Kennedy, seen as a swing voter, abruptly retired, leaving another seat to be filled. Murkowski ultimately withdrew herself from the final tally as a gesture of goodwill toward her Republican colleague, Sen.

Ex-Pres. Lee Sentenced to 15 Years in Prison
After the elder Park was gunned down by his spy chief, ex-military generals Chun Doo-hwan and Roh Tae-woo ruled successively. Lee, who served as president from 2008-2013, has denied any wrongdoing and says the investigation was politically motivated.

Saudi crown prince dismisses Trump remarks about reliance on US
What has Saudi Arabia said about it? Human rights groups are demanding Saudi Arabia clarify Khashoggi's whereabouts. He denounced the repressive tactics of authorities against dissidents, businessmen, activists and clerics.

Collins: ‘I do not believe that Brett Kavanaugh was’ Ford’s assailant
Kavanaugh was quickly sworn in at the court building, across the street from the Capitol, even as protesters chanted outside. As the Friday morning vote to advance Kavanaugh's nomination unfurled, the mood inside the Senate chamber was tense.

Other news