Old Bay Maker Advances Merger Plans, Targets $600M In Annual Savings

HUNT VALLEY, MD — McCormick, the Maryland company behind Old Bay seasoning, is moving ahead with plans to combine with Unilever’s Foods business, a deal expected to generate about $600 million in annual cost savings.

The Hunt Valley-based company said Thursday it has established the future leadership team and operating structure. More than 200 employees from both companies are preparing for the combination.

The deal is expected to close by mid-2027, subject to regulatory approvals and other closing conditions. McCormick announced the agreement in March.

Related: MD-Based McCormick To Merge With Unilever In $20B Deal

The companies expect savings primarily from administrative operations, purchasing, manufacturing and logistics. The release did not announce Maryland layoffs, facility closures or a headquarters move, or specify how the savings plans could affect local operations.

“We have established the future leadership team and operating model,” McCormick Chairman, President and CEO Brendan Foley said in the release.

The combined business would have approximately $20 billion in annual sales, based on the companies’ 2025 results. McCormick’s brands also include French’s, Frank’s RedHot and Cholula.

The update accompanied McCormick’s third-quarter earnings report. Sales rose about 17% to $2.02 billion, largely reflecting its acquisition of a controlling interest in McCormick de Mexico. The company reaffirmed its annual financial outlook.