March 20 (Reuters) – Unilever is in talks to sell its foods business to smaller rival McCormick & Company, a potential deal that would unite the British company’s Hellmann’s and Knorr brands with the U.S. spice maker’s Cholula hot sauce.
The deal talks come months after the consumer goods giant spun-off its Magnum Ice Cream Company division, as part of efforts to focus on its personal care and beauty businesses.
Here’s a breakdown of the two food businesses’ major brands and sales:
UNILEVER FOOD BUSINESS MCCORMICK
Market Value Enterprise value of $14.51 billion,
about $34.71 billion, according to LSEG
according to Barclays data
estimates
Popular brands Knorr soups and Cholula hot sauce,
spices, Hellmann’s French’s condiments
mayonnaise and and sauces, Frank’s
condiments, Horlicks RedHot sauces,
drink mixes, Colman’s Stubb’s sauces and
mustard, Marmite marinades
spread, Maille
mustard, Kissan sauces
and jams, Bovril beef
extract
Latest annual 12.93 billion euros $6.84 billion
revenue ($14.96 billion)
Latest annual 2.75 billion euros $1.07 billion
profit
Major markets Products of parent Brands sold in over
sold in over 190 170 countries
countries including including U.S.,
Nigeria, India, China, Canada, China,
U.S., Canada, UK, India
France
Operations and The conglomerate has Across 29 countries
offices offices across 119
locations worldwide
with no breakdown of
Foods only locations
Major plants and Burton in the UK, Maryland and
facilities Cochin in India Louisiana in the
U.S., Shanghai in
China
Here’s how the businesses’ leadership and strategies look like:
UNILEVER FOOD BUSINESS MCCORMICK
Leadership Heiko Schipper, Foods Michael A. Conway,
Business Group CEO
President
Business model Does not have segments Operates via two
within food unit but segments- Consumer
the cooking aids and and Flavor Solutions
condiments categories
drive a chunk of
sales. Other offerings
include Mini Meals,
and Unilever Food
Solutions.
Shareholder Activist shareholder None
activism in the Nelson Peltz revealed
past few years a stake in parent
Unilever in 2022,
pushing for
streamlining at foods
unit operations
Acquisitions and Parent spun-off Ice Bought Reckitt
disposals cream brand Magnum and Benckiser’s food
sold non-core food unit in 2017,
assets including snack Cholula Hot Sauce in
brand Graze and 2020
plant-based meat brand
The Vegetarian Butcher
in 2025. It has cut
product assortment by
25% since 2019.
(SOURCES: Reuters stories, companies’ annual reports and websites)
($1 = 0.8643 euros)
(Reporting by Prerna Bedi in Bengaluru; Editing by Devika Syamnath)
Comments