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McCormick & Company, a global flavour solutions provider, has announced the successful acquisition of an additional 25% ownership interest in McCormick de Mexico from Grupo Herdez, bringing its total ownership to 75%.

This acquisition, finalised for a purchase price of $750 million, enhances McCormick's foothold in the burgeoning Mexican market and paves the way for further expansion throughout Latin America.

The acquisition, initially disclosed on August 21 2025, marks a significant milestone in McCormick's longstanding partnership with Grupo Herdez, a collaboration that dates back to 1947.

By increasing its stake in the joint venture, McCormick aims to leverage its extensive expertise in category management, innovation, and marketing to drive growth in the region.

Brendan M Foley, chairman, president and CEO of McCormick, said: “We are excited to acquire majority ownership in McCormick de Mexico, further strengthening our track record of driving shareholder value through strategic acquisitions”.

He continued: "With this expanded ownership, we plan to build on McCormick de Mexico's strong performance by enhancing our product offerings and expanding into adjacent categories”.

The transaction is expected to positively impact McCormick's financial performance in 2026, contributing to net sales, adjusted operating margin, and adjusted earnings per share, excluding integration costs.

Furthermore, McCormick anticipates minimal impact on its Net Debt to Adjusted EBITDA ratio as a result of this acquisition.

As the demand for flavour continues to rise globally, McCormick's expanded presence in Mexico positions the company to capitalise on emerging trends within the food and beverage industry.

The acquisition not only solidifies McCormick's leadership in the flavour segment but also aligns with its strategy to enhance brand marketing support and product innovation tailored to local consumer preferences.

McCormick will provide further financial guidance for fiscal 2026, including the effects of this acquisition, during its fourth quarter earnings call scheduled for 22 January 2026.

The company's extensive portfolio includes well-known brands such as McCormick, French's and Frank's RedHot, positioning it to meet the growing consumer demand for flavour in the global food and beverage market.