Source: Sharecast
If successful, the deal would see brands such as Unilever's Hellmann's mayonnaise and US-based McCormick's Cholula hot sauce brought together. The UK-Dutch conglomerate also reportedly held talks recently with Kraft Heinz about a potential megamerger of their food units.
McCormick, which in January forecast weak profit for 2026 due to higher tariff-related costs, has a market value of around $14.51 billion, while London-based Unilever is valued at more than $134 billion, according to LSEG-compiled data.
Unilever spun off its ice-cream business last year as part of a reorganisation to focus on more profitable beauty and personal care segments.
"While these discussions are ongoing, there can be no certainty or assurances as to whether an agreement for a transaction will be reached or as to the terms or timing of any such transaction," McCormick said in a statement.
"McCormick regularly evaluates its portfolio and strategic options in pursuit of maximizing shareholder value and consistent with its fiduciary duties and in consultation with its financial and legal advisors."
The US firm makes around $7bn in annual sales across 150 countries and territories, according to its website. It produces and distributes herbs, spices, seasonings, condiments and flavors to the food and beverage industry including retailers, food manufacturers and foodservice businesses.
Its brands include French's mustard, Aeroplane jelly and Schwartz.
Reporting by Frank Prenesti for Sharecast.com
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