Unilever Hunts New Owner To Swallow Peperami

Unilever (NYSE: UL - news) , the FTSE100 consumer goods conglomerate, is seeking a buyer for its Peperami snacking brand more than 30 years after it was created because of a shipping error.

Sky News understands that Unilever has appointed investment bankers at UBS to conduct an auction of Peperami and BiFi, the name under which the product trades in Germany.

The sale is likely to raise only tens of millions of pounds for the Anglo-Dutch company, but will continue its refocusing on faster-growing products and international markets.

Unilever launched Peperami, which is made of spicy pork salami, in 1982, when a container it shipped to the UK contained sausages instead of pate.

The company does not break down sales by individual brands, but has said that it wants to focus on products with a sustainable growth profile in emerging markets.

Unilever's first-quarter results, announced in April, showed underlying sales growth of 4.9% with emerging markets up 10.4%.

Earlier this week, the company, which owns Dove shampoo and Flora margarine, announced that it had increased its stake in Hindustan Unilever (BSE: HUL.BO - news) , its Indian affiliate, to 67%.

The decision to put Peperami up for sale reflects the ongoing pruning of the company's portfolio by Paul Polman, chief executive, who is also seeking a buyer for Wishbone, Unilever's US-based salads and dressings business.

Earlier this year, he sanctioned the sale of Skippy, another of its major food brands, to Hormel Foods, for several hundred million pounds.

Unilever declined to comment on the prospective sale of Peperami.