McCormick, Unilever $15B Deal to Create 'Global Flavor Leader'
Unilever and McCormick & Co. have come together on a deal.
Unilever's foods business (excluding a few segments, such as India) will combine with McCormick to create a business with expected annual revenue of approximately $20 billion, based on fiscal year 2025 revenue.
Unilever will receive $15.7 billion in cash for the transaction, which is expected to close by mid-2027.
The combined company will represent complementary global footprints and a portfolio of condiments and sauces, spices, and herbs, bringing together brands such as McCormick's Frank's Red Hot and French's mustard and Unilever's Hellmann's mayonnaise and Knorr seasonings.
Knorr and Hellmann's comprise approximately 70% of Unilever's sales. Knorr is sold in more than 90 countries, serving more than 5 billion consumers worldwide, while Hellmann's is present in more than 65 countries.
"This transformative combination accelerates McCormick's strategy and reinforces our continued focus on flavor. The Unilever foods business is one we have long admired, with a portfolio that complements our existing business, capabilities and long-term vision," Brendan Foley, president and CEO of McCormick, said in a statement. "Together, we will be better positioned to accelerate growth in attractive categories."
More Transaction Details
The companies said the combined entity will have greater success that benefits from expanded global reach, enhanced scale across retail and foodservice channels, and a larger pool of resources for brand building, innovation and global distribution.
This includes access to high-growth regions on McCormick's part, including EMEA, Latin America and APAC, which have historically been served by Unilever's food segment. Meanwhile, the Unilever portfolio is expected to benefit most from McCormick's growing presence in North America.
McCormick will also tap into Unilever's technology capabilities, R&D centers and manufacturing footprint, which is anticipated to help the new global company better meet consumer trends and demands such as increased protein consumption and cooking at home.
Also: Guy Peri, chief information and digital officer at McCormick, was named a CGT 2025 Visionary
Brendan Foley will retain his title at McCormick alongside Marcos Gabriel, who will remain as EVP and CFO.
The companies plan to bring together leadership from both sides to serve in key roles. Unilever will appoint four of the 12 members for the combined board.
Global headquarters will remain in Hunt Valley, MD, strengthening McCormick's existing footprint, while an international headquarters will be located in the Netherlands, where Unilever's foods business has an R&D presence.
The companies said that integration planning is a key priority.
"Integrating two global organizations of this scale requires disciplined execution, and we are confident that our detailed integration roadmap, experienced teams from McCormick and Unilever, external advisors and our strong partnership will enable us to capture the full value of this opportunity," Fernando Fernández, CEO of Unilever, said in a statement.
He added that this transaction is another decisive step in sharpening the portfolio and accelerating its strategy towards high-growth categories. Unilever has been on a multiyear journey to optimize its business through mergers and acquisitions.
Last year, Unilever divested its Kate Somerville brand, selling it to Rare Beauty. Before that, it added personal care brand Dr. Squatch and digitally native personal care brand Wild to its portfolio.
In 2024. Unilever spun off its ice cream business so it could focus on four primary groups: beauty and wellness, personal care, home care and nutrition.
