CMA dials up probe into Unilever’s $65bn McCormick tie-up

The Competition and Markets Authority (CMA) has intensified its investigation into Unilever's $65 billion deal to sell its food division to McCormick, the American spice giant. The watchdog warned the merger could significantly reduce competition in the UK grocery market, particularly in the condiment and spice sector. The CMA stated that the merged entity would become the largest supplier of dry ingredient mixes and dry sauces, posing a substantial threat to competition.

Unilever and McCormick now have until November 18 to provide assurances that would satisfy the regulator, such as selling or spinning off certain brands. The merger, one of the largest in London Stock Exchange history, will combine prominent brands like Hellmann's and Frank's mustard, making the new entity the primary supplier of dry ingredient mixes and dry sauces in the market.