McCormick & Company, a global leader in flavor, announced that it has signed a definitive agreement to acquire the parent company of Cholula Hot Sauce®, a premium hot sauce brand that delivers authentic Mexican flavor, from L Catterton, for $800 million in cash.
Cholula’s annual net sales are approximately $96 million and are expected to grow mid-to-high single digits in a normalized environment beyond the COVID-19 pandemic. Cholula’s portfolio of six distinctive flavors is proudly made in Mexico using high-quality ingredients and is based on a 100-year old recipe comprised of a unique blend of fresh peppers and regional spices. McCormick plans to retain the Cholula brand name in both the retail and foodservice channels.
McCormick Anticipates the Acquisition of Cholula Will Drive Long-Term Shareholder Value
- Increases Breadth and Reach Through Complementary Products and an Expanded Consumer Base
- Drives Growth Through Leveraging Operational Expertise and Infrastructure
- Expands Branded Foodservice Distribution and Increases Penetration
- Accretive to Margins
To learn more, visit the McCormick & Company website.
Source: McCormick & Company