Unilever expected to pick Rotterdam when fleeing UK's Brexit
Unilever expected to pick Rotterdam when fleeing UK's Brexit
A branded taxi stands outside Unilever's Marmite factory in Burton upon Trent Britain
22 February, 2018, 22:29
United Kingdom officials are in talks with Unilever to convince the consumer goods giant to keep its headquarters in London.
The consumer goods manufacturer has been continuously lobbied by UK Government representatives, who are anxious that the company, which employs 7,500 people in Britain, could close its London headquarters and make its primary base in the Dutch city of Rotterdam. The two men have expressed optimism about the outcome of the discussions, emphasising that Unilever has not made a final decision. But Unilever has always operated as a single business with a single board of directors.
Since it was founded in 1930, the Anglo-Dutch soups-to-soaps giant has maintained two separate headquarters - in London and in Rotterdam - as well as dual bourse listings and dual fiscal entities.
Unilever pledged to review its dual legal structure and stock market listing in the United Kingdom and the Netherlands past year after...
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Having a single base in only one legal and tax jurisdiction will result in a single stock market quote, making it much easier to issue new shares or carry out share-based acquisitions.
Paul Polman, Unilever's Dutch chief executive, has already spoken of his desire to prevent the restructure becoming politicised - even postponing the original decision at the end of past year - but at times like this, that is a hard ask.
Meanwhile, Dutch prime minister Mark Rutte has been lobbying Unilever to opt for the Netherlands. The group originated from the merger between Dutch margarine manufacturer Unie and British soap company Lever Brothers, and Unilever's factory in Port Sunlight, Merseyside - the original Lever Brothers site - is today still the location of Unilever's home care and personal care R&D.
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