McCormick Is Shifting From the Spice Rack to the Refrigerator With This $45 Billion Deal

McCormick announced a $45 billion merger with Unilever's food division to diversify away from its struggling spice business, which faces intense private-label competition. The combined company will reduce spice exposure from 30% to 15% of sales and add brands like Hellmann's and Knorr. While the strategic rationale is sound, execution risks including a complex Reverse Morris Trust structure, significant debt increase, and a mid-2027 closing timeline create investor uncertainty.