THE MAGNUM ICE CREAM COMPANY (=) : Rumoured acquisition interest: things to think about

Research evidence excerpt

THE MAGNUM ICE CREAM COMPANY (=) : Rumoured acquisition interest: things to think about

EQUITIES

FOOD & HPC

THE MAGNUM ICE CREAM COMPANY NEUTRALPRICE* EUR13.0  TARGET PRICE EUR13 (UPSIDE 0%)

FLASH NOTE

Rumoured acquisition interest: things to think about

15 MAY 2026 Securities Research Report Production time: 12:55* (London time)

Research Analyst & Publishing Entities

Jeff Stent BNP Paribas London Branch (+44) 207 039 9469 jeff.stent@uk.bnpparibas.com

What happened?

Various media channels (e.g. Bloomberg, Reuters) are reporting that Blackstone and CD&R are among private equity

firms in the early stages of exploring bids for Magnum (see here). The firms are reported to be monitoring Magnum’s

share price before deciding whether to make an offer and both firms are reported to be waiting for Magnum to report

summer sales before making a decision.

BNPP View:

Below we outline our thoughts:

– Is Magnum a credible acquisition candidate? In our view, Yes. Magnum has a credible mid-term profits ramp and it

would appear that the number two player in the market (Froneri) has had a successful private equity ownership post its exit

from full Nestle ownership.

– Is there a tax complication? In Magnum’s prospectus, the following appears: ‘Under the Tax Matters Agreement, the

Company will be restricted from engaging in certain acquisition, merger, liquidation, sale and stock redemption transactions

during the two-year period following the completion of the Demerger, unless (i) the Company obtains a tax opinion from a

qualified adviser (or a ruling from the IRS) that such action will not affect the tax-free treatment of the Demerger of the internal

restructuring; or (ii) the Company and Unilever agree otherwise. Although the Company does not currently anticipate that these