Iconic British brands such as Marmite and Pot Noodle are being spun off into a separate company by Unilever, raising the chances of the multinational selling them.

Unilever is transferring 14 European food brands from Britain, France and Germany into a unit being managed from Rotterdam.

The British brands also include Bovril and the spicy salami Peperami.

Other products, such as Colman's mustard, PG Tips and Scottish Blend tea, will remain in the main Unilever fold.

Analysts at Citigroup predicted that the move could be a precursor to the sale of the niche brands.

They said: “We believe that an eventual disposal of the brands within Chrysalis is likely. Why else transfer a number of smaller and local brands to a separate company? We struggle to think of a reason.”

However, Unilever said that the scheme would provide specialist management focus for its “local jewels” and there were no plans to sell them.

Project Chrysalis comes as the consumer foods giant, home to Flora margarine, Persil washing power and Dove soap, undergoes a significant overhaul.

In the three years since Patrick Cescau became chief executive, the Anglo-Dutch company has sought to streamline its diverse portfolio, selling a steady trickle of minor brands such as Boursin cream cheese to concentrate on its core names.

A slate of businesses around the world have been sold or are awaiting disposal.

Its Brazilian margarine businesses was sold last June, the sale of the US herbs and spices division is being completed and the American laundry detergent unit is up for sale.

However, products such as Marmite and Bovril, which appeal almost exclusively to local tastes, do not fall easily into a globalised marketing scheme.

A company spokesman said: “Over the years, we've focused products into clearer categories and geographies. Project Chrysalis looks at ways you can manage brands in a different way.”

Asked if they were likely to be sold off, he said: “No, not necessarily.”

The “One Unilever” restructuring programme has brought about a top-line turnaround, with the group's sales growing at or above the company's target of 3 per cent to 5 per cent for the past 11 quarters.

Last August, the company announced 20,000 job cuts in the next four years to reduce costs and prevent duplication of roles.

Martin Deboo, an Investec analyst, said: “It seems to me that if you have ‘local jewels' it makes sense to have a jewel box.”

In a note, Citigroup analysts wrote: “An eventual disposal of Chrysalis would further de-clutter the organisation, increase the proportion of sales in emerging markets and increase the momentum growth rate a tad.”

However, Citigroup said that the move would not obviously create value.

The bank raised its target to £17.30 from £16.70, to reflect the fall in the pound against the euro, but retained its “hold” recommendation.

This week it emerged that Unilever was being investigated by the Office of Fair Trading for alleged price-fixing, along with Procter & Gamble and Coca-Cola and the leading supermarkets Tesco, J Sainsbury, Asda and Wm Morrison.

Unilver shares fell 19p, or 1.1 per cent, to £16.78 yesterday.

On the menu

— Bovril and Marmite are made in Burton-on-Trent

— Marmite production began in 1902, while Bovril first appeared in the 1870s

— Marmite, made from brewer’s yeast, was in First World War soldiers’ ration packs as it contains B vitamins. It was a dietary supplement in Second World War prisoner camps

— Unilever bought Marmite in 2000

— Bovril was invented by a Scotsman, John Lawson Johnston, after he won a contract to supply one million cans of beef to the French Army in the 1870s

— Up to 240 Pot Noodles are eaten every minute in Britain

Times Recommends

• Lies and cover-up at MG Rover exposed by report
• High oil prices push manufacturing costs up
• Primark founder steps down as chief executive