Ben & Jerry's Founders Explore Separating Brand From Owner

Ben & Jerry's co-founders Ben Cohen and Jerry Greenfield are reportedly exploring a deal to separate the ice cream brand from its current owner, Magnum Ice Cream. The plan involves carving out the business and structuring it under an employee stock-ownership plan, according to The Wall Street Journal.

This potential separation comes after a history of clashes between the founders and their former parent company, Unilever, over the brand's social activism and political stances. Magnum Ice Cream, a spin-off of Unilever, currently owns Ben & Jerry's.

Pete Stavros, founder of Expanding ESOPs, is reportedly involved in the discussions for the employee stock-ownership plan, which could offer tax benefits and allow rank-and-file employees to hold stock in the company.

However, Magnum Ice Cream has stated that Ben & Jerry's is not for sale. In an emailed statement to Reuters, a spokesperson for Magnum said the brand is "thriving as part of The Magnum Ice Cream Company." The company also indicated that separating Ben & Jerry's from Magnum would result in "significant dis-synergies," reduced investment in its social mission, and increased selling prices.

Ben & Jerry's has a long-standing commitment to social activism, and its founders and board have frequently voiced opinions on political and ethical issues. Recent reports suggest Magnum has also sought to reduce the influence of Ben & Jerry's independent board, which has been scaled down to two members.

Cohen expressed to the Journal his intention to "try to generate more public pressure on Magnum to sell." Representatives for Ben & Jerry's, the co-founders, and Stavros did not immediately respond to requests for comment.