UK CMA Launches Phase 1 Inquiry into McCormick-Unilever Foods Deal
The UK Competition and Markets Authority has launched a Phase 1 merger inquiry into McCormick & Company’s anticipated acquisition of the majority of Unilever’s Foods business.
The CMA formally launched the investigation on September 16, 2026, following the transaction’s pre-notification process and an earlier invitation for interested parties to comment on its potential impact on competition in the UK.
McCormick and Unilever announced their agreement to combine Unilever’s Foods business with McCormick in March 2026. The transaction is intended to create a global flavor-focused business, with completion expected by mid-2027 at the latest, subject to regulatory approvals and other closing conditions.
The CMA’s Phase 1 investigation will assess the potential competition implications of the proposed transaction in the UK. The statutory deadline for the Phase 1 decision is November 11, 2026, although the CMA noted that the deadline can be extended in certain circumstances.
The proposed combination would bring the majority of Unilever’s Foods business together with McCormick. The transaction excludes several Unilever businesses, including its Foods operations in India, Nepal and Portugal, its Lifestyle Nutrition business, Buavita and its Lipton Ready-to-Drink business.
Under the proposed structure, Unilever’s Foods business would be separated from the company and combined with McCormick. Unilever shareholders would hold 55.1% of the future combined company, while McCormick shareholders would hold 35%, with Unilever retaining a 9.9% stake.
The companies have said the combined business is expected to generate approximately $600m in annual run-rate cost synergies, net of growth reinvestments, alongside a further $100m in incremental cost and revenue synergies to be reinvested in growth.
The CMA’s investigation is now underway, with the authority set to determine whether the proposed acquisition raises competition concerns that require further examination.
