McCormick Buying More of McCormick de Mexico from Grupo Herdez

McCormick & Co. today announced it’s paying Grupo Herdez $750 million for an additional 25% ownership interest in McCormick de Mexico, a joint venture the two companies formed in 1947.

The acquisition will increase McCormick's ownership to 75%, “creating opportunities for [McCormick’s] further growth in the Mexican market. Additionally, the transaction provides a strategic platform for further expansion in Latin America.” Annual sales are approximately $810 million and are expected to grow in the mid-single digits range.

McCormick says McCormick de Mexico is a prominent food company in Mexico, with a broad portfolio that includes mayonnaise, spices, marmalades, mustard, hot sauce and tea, sold under McCormick brands. McCormick Mayonesa con Jugo de Limones is the most widely recognized brand, distinguished by its unique flavor profile loved by Mexican consumers plus the extra zing of lime.

"This marks the beginning of an exciting new chapter for McCormick in Mexico,” said Brendan Foley, McCormick’s chairman and president/CEO. "The McCormick brand has been a household staple in Mexico for 78 years, with market leadership in high-growth categories, most notably in mayonnaise. In addition, the brand commands strong loyalty among Mexican consumers and foodservice operators.”

Foley acknowledged the “long and successful partnership with Grupo Herdez, and we look forward to continuing our collaboration.”