McCormick Nearing Deal To Acquire Hot-Sauce Maker Cholula: WSJ

(RTTNews) - McCormick & Co., Inc. (MKC) is nearing a deal to acquire hot-sauce maker Cholula from private-equity firm L Catterton, the Wall Street Journal reported citing people familiar with the matter.

The company is in talks with L Catterton for a deal that would value Cholula around $800 million. L Catterton has owned the Cholula brand since early 2019.

The report noted that a deal, resulting from an auction of the business, could come together as soon as Tuesday.

With the proposed acquisition, the seasonings company aims to capitalize on demand for spicy condiments.

McCormick already owns another popular hot sauce, Frank's RedHot, which it acquired in 2017.