Unilever PLC (LON:ULVR) has agreed to sell its margarine and spreads unit to private equity firm KKR for €6.8bn following a review of its business.
The consumer goods giant had announced it was selling the division, which includes Flora and ProActiv brands, in April when it laid out its financial targets.
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At the time, it said the margarine business was a “declining segment” that could be better managed by another company. It also revealed plans to cut costs in an effort to reach a 20% margin by 2020.
Paul Polman, chief executive of Unilever, said: "The announcement today marks a further step in reshaping and sharpening our portfolio for long term growth.
"I am confident that under KKR's ownership, the spreads business, with its iconic brands, will be able to fulfil its full potential as well as societal responsibilities."
Unilever kicked off a review of its business after rejecting a US$143bn takeover offer from Kraft Heinz in February.