• by Sarah Mahoney , Staff Writer, March 20, 2026

Keeping track of the massive pruning, shuffling and remixing of CPG portfolios has taken another plot twist, with Unilever confirming it is in talks to shake off all its food brands, potentially combining them with McCormick & Co.

The terse announcement came just hours after the Wall Street Journal reported that the two companies were in talks, and less than a week after Bloomberg published a report that the transaction might be structured as a trust, providing tax efficiencies. If it comes together, the deal would position McCormick as "a global leader in flavors and condiments," and allow Unilever to further develop its dominance in beauty, personal care and household products.

Unilever's food portfolio includes Hellmann's mayonnaise and Knorr soups and sauces. McCormick, in addition to its spices, owns condiments such as French's yellow mustard and Cholula hot sauce.

In its statement, Unilever says that while it believes its foods division “is a highly attractive business, with a strong financial profile led by market-leading brands in growing categories and is confident in the future of the Foods business as part of Unilever," it also acknowledged receiving an offer from McCormick. "There can be no certainty that any transaction will be agreed."

McCormick also issued a statement conveying the same information.

If the deal comes to fruition, writes Steve Powers, an analyst who covers CPG for Deutsche Bank, it offers McCormick's shareholders "a path to potentially transformative scale by merging with Unilever's €13.4 billion food division, anchored by core brands Knorr (€5 billion) and Hellmann's (€3 billion). The strategic fit is theoretically strong, combining Unilever's leadership in bouillons and mayonnaise with MKC's strength in spices, seasonings, and hot sauce."

The move follows the recent spin-off of Unilever's ice cream division, now the stand-alone Magnum Ice Cream Company, which includes Magnum, Cornetto and Ben & Jerry's.

While plenty of other CPG companies have been merging, downsizing, streamlining and remixing, this one would be massive: The Journal reports that McCormick's market value is close to $15 billion, while Unilever's is near $140 billion.

Other recent mega CPG shakeups include Mars' acquisition of Kellanova and Ferrero's purchase of WK Kellogg. Kraft Heinz recently announced it would no longer pursue plans to split the company in two. And General Mills, JM Smucker, and Campbell's have all divested brands recently, as companies look for ways to become more profitable, in the face of consumer pullbacks and the rise of private label.