Unilever Explores Strategic Sale of Food Business to McCormick & Co.

In a potential multi-billion dollar shift, Unilever confirms an inbound offer from McCormick for its food business, including Hellmann’s and Knorr, as it pivots toward beauty and personal care.

By: AXL Media

Published: Mar 21, 2026, 10:26 AM EDT

Source: Reuters

The Strategic Shift: Beauty Over Broth

Under CEO Fernando Fernandez, Unilever is accelerating its "simplicity over scale" agenda. Having already spun off its ice cream business in 2025, the company is now looking to divest legacy food brands like Hellmann's and Knorr.

Revenue Impact: The food business accounted for roughly 25% of Unilever's 2025 sales, generating approximately €12.9 billion.

Market Pressures: The division faces significant headwinds, including the global rise of GLP-1 weight-loss drugs (which reduce food consumption) and increasing political scrutiny of processed foods by figures like U.S. Health Secretary Robert F. Kennedy Jr.

Investor Sentiment: Shares of Unilever rose 1% on the news, while McCormick shares fell 2.6% as investors weighed the "big mouthful" the U.S. firm is attempting to swallow.

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