Shares of Hindustan Unilever (HUL) climbed almost 3 percent in morning trade and looked on course to break their losing run of the last two consecutive sessions on February 25.
Shares of the company saw some traction a day after its board gave nod to the formation of a new subsidiary that will be 100 percent owned by the company.
According to a release filed with the exchanges, the company will be incorporated with an authorised share capital of Rs 2,000 crore.
"This new subsidiary has been formed to leverage the growth opportunities in a fast-changing business environment and will help HUL in becoming more agile and customer-focused," it said.
HUL on January 31 reported an 11.9 percent year-on-year growth in the December quarter profit at Rs 1,616 crore, driven by lower commodity cost and other expenses.
Profit for the corresponding quarter of the previous financial year stood at Rs 1,444 crore.Shares of the company traded 1.57 percent up at Rs 2,250.90 on BSE around 10:30 hours.