Unilever Indonesia divests SariWangi Tea to PT Savoria Kreasi Rasa for US$89.5M
Unilever Indonesia to sell SariWangi tea business as it sharpens focus on higher-growth, scalable FMCG categories.
INDONESIA – Unilever Indonesia, part of consumer goods giant Unilever, has agreed to divest its tea business in Indonesia under the SariWangi brand to PT Savoria Kreasi Rasa, a fast-growing local FMCG group.
The proposed divestment forms part of Unilever’s ongoing portfolio optimisation strategy, as the company focuses on fewer, bigger and more scalable categories to support sustainable long-term value creation.
A regulatory filing published by Unilever Indonesia values the transaction at Rp1.5trn (US$89.5m). Established in 1973, the SariWangi brand was acquired by Unilever in 1989 and has since operated under its Indonesian business.
Benjie Yap, president director of Unilever Indonesia, said the deal would support both the brand’s future and the company’s strategic priorities.
“We are confident that this transaction will position the tea business for its next phase of growth, while sharpening Unilever Indonesia’s focus on priority, higher growth segments and reinforcing our commitment to sustainable shareholder value,” Yap said.
The transaction remains subject to customary closing conditions and is expected to be completed in the first half of the year.
SariWangi is one of the leading brands in Indonesia’s tea-bag market, with a sizeable market share built over decades and strong brand recognition among local consumers.
Despite its prominence, the tea business represented a relatively modest share of Unilever Indonesia’s overall performance. It contributed around 3.1% of net profit and approximately 2.7% of total revenue.
The divestment is valued at roughly 45% of Unilever Indonesia’s total equity, based on the company’s financial statements as at September 30, 2025.
The sale follows Unilever’s earlier exit from global tea operations. In 2022, the group sold its global tea business, Ekaterra, to CVC Capital Partners for €4.5bn (US$5.26B).
That transaction excluded Unilever’s tea businesses in India, Nepal and Indonesia, as well as its interests in Pepsi Lipton ready-to-drink tea joint ventures and related distribution operations.
Market data points to limited growth in the category. According to research from GlobalData, hot tea volumes in Indonesia between January and September last year were largely flat, rising just 0.4% to 6.14 billion litres. In the third quarter from July to September, volumes declined 0.5% year on year to 2.05 billion litres.
Beyond tea, Unilever has continued to streamline its Indonesian portfolio. Last year, it sold its ice cream business, Walls, to Magnum Ice Cream Indonesia for 7 trillion rupiah (US$415.8M).
Despite competitive pressures and consumer boycotts, Unilever Indonesia reported strong third-quarter 2025 results, with net sales up 12.4% and net profit rising 117%.
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