The Magnum Ice Cream Company, Unilever’s soon-to-be-listed ice cream business, is set to enhance capacity and improve efficiency at its UK factory.
Located in Gloucester, this facility serves customers in both the UK and continental Europe.
As part of a £50m ($65.6m) initiative, The Magnum Ice Cream Company (TMICC) plans to introduce two new production lines, replace an existing line, and rebuild the site’s mix plant.
Jamie Farrell, the head of TMICC’s operations in the UK and Ireland, remarked, “As we prepare to launch the Magnum Ice Cream Company as a standalone business, this investment reflects our ambition to grow, innovate, and continue delighting consumers in the UK and beyond through our much-loved brands.”
The factory employs 476 staff and produces products under renowned brands, including Magnum and Viennetta. Notably, around 80% of the site’s output caters to the UK market.
This investment, part of a comprehensive “global supply chain transformation programme,” aims to increase the Gloucester site’s capacity by 25%. TMICC targets a 50% boost in output by 2027, compared to production levels in 2023.
A TMICC spokesperson confirmed that there would be “no direct impact on jobs,” adding, “The site employs 476 people directly, and the investment helps to secure its long-term future.”
This investment comes as Unilever is preparing to list TMICC on exchanges in New York, London, and Amsterdam next month.
TMICC operates 35 factories and seeks up to €380m in “gross savings” from its supply chain program in the “medium term,” according to a recent presentation.
Moreover, the company aims to enhance its procurement efficiency and initiate a “step change” in manufacturing productivity.
TMICC also anticipates achieving €70-100m in gross savings by reducing overhead costs. The organization indicated that being a standalone entity is economical compared to operating as a division within Unilever.
Additionally, the producer of Solero aspires to secure €30-50m in gross savings through “tech-enabled productivity.”
In total, the anticipated gross savings could reach up to €530m. TMICC reported securing approximately €150m during 2024 and the first half of 2025.
