The New Paper

November 25, 2020

McCormick announces $800M acquisition of Cholula Hot Sauce

Spice-maker McCormick announced that it will acquire Cholula Hot Sauce for $800M. McCormick noted that the acquisition was driven in part by a desire to broaden its portfolio in the growing hot sauce category. Cholula generates $96M of annual revenue (according to the deal announcement) and will join McCormick’s existing portfolio of widely-recognized consumer brands (including Frank’s RedHot, French’s, Lawry’s, and Old Bay). 

More context: The acquisition comes amid strong demand for consumer packaged goods and grocery products amid the ongoing coronavirus outbreak. US grocery store sales are up 12% so far this year (compared to the same period last year), while overall retail sales are roughly flat over the same period (source).

This story is from the November 25, 2020 edition of The New Paper – a clear, concise daily briefing that makes fact-first news easy to consume. Try it today.