CANBERA (dpa-AFX) - McCormick & Co., Inc. (MKC) Monday said it has acquired privately held Botanical Food Company, Pty Ltd in Australia in a deal worth $114 million or A$150 million. Botanical is a manufacturer of Gourmet Garden brand of chilled packaged herbs.
McCormick said it expects no earnings per share impact in 2016, however, in 2017, the acquisition will be fully accretive.
Gourmet Garden has annual sales of around $53 million and growing at a double-digit rate. McCormick noted that Gourmet Garden's closer to fresh products complement McCormick's existing branded herb portfolio with the addition of chilled convenient herbs located in the perimeter of the grocery store. McCormick has plans to expand global distribution and building awareness with increased brand investment.
Gourmet Garden exports to 15 countries with the largest market being the United States. Currently, more than 90 percent of Gourmet Garden sales are to retail customers located in North America and Australia. It has approximately 200 employees and a modern manufacturing facility located in Queensland, Australia.
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