McCormick & Company Inc. announced last week that it has reached an agreement to acquire a majority of a decades-old joint venture in Mexico.
The spice company will spend $750 million to acquire an additional 25% share of McCormick de Mexico, which was established in partnership with Grupo Herdez in 1947. Once completed, McCormick & Company would own 75% of the business.
McCormick de Mexico sells spices, sauces, condiments and tea under McCormick brand names. The business generates net sales of about $810 million per year, and officials expect sales to climb in “the mid-single digits range.”
McCormick officials said that the move would create growth opportunities in Mexico, as well as a “strategic platform” for expansion in Latin America overall.
"This marks the beginning of an exciting new chapter for McCormick in Mexico,” McCormick Chairman, President and CEO Brendan Foley said in a statement. “With this expanded ownership, we will advance our global flavor leadership and increase our presence in condiments and sauces.”
The transaction is expected to be completed early in fiscal year 2026.
