McCormick confirms strategic talks to combine with Unilever’s foods business

McCormick & Company (NYSE:MKC) confirmed on March 20, 2026, that it has entered discussions with consumer goods giant Unilever (NYSE:UL) regarding a potential strategic transaction involving Unilever's Foods business.

The announcement follows intense media speculation and an official statement from Unilever earlier today confirming it had received an "inbound offer" for the division.

While McCormick acknowledged the talks, it cautioned that there is no certainty regarding the final terms, timing, or whether an agreement will be reached at all.

The potential deal is reportedly being explored as an all-stock transaction that could be structured as a Reverse Morris Trust, a tax-efficient mechanism often used to spin off and merge major business units.

Such a deal would likely value Unilever's food assets—which generated approximately €12.9 billion ($14.3 billion) in 2025 revenue—in the tens of billions of dollars.

Bringing brands like Unilever’s Hellmann’s and Knorr under the same roof as McCormick’s Cholula, French’s, and OLD BAY would create a global flavoring and condiments powerhouse with unmatched shelf space and pricing power.

For Unilever, the move represents a dramatic acceleration of its strategy to exit the slower-growth packaged foods sector in favor of high-margin beauty, personal care, and wellness categories.