Extending its presence in Europe, McCormick & Company Inc. has bought 100% of the shares of Drogheria & Alimentari (D&A), a privately held spices and seasonings maker based in Florence, Italy, for about €85 million ($97 million U.S. dollars).
"We anticipate strong growth for these premium products, particularly in the [United States] and key international markets where consumers are seeking unique and authentic ethnic flavors," said Alan Wilson, McCormick's chairman and CEO.
Malcolm Swift, president of McCormick Europe, Middle East and Africa (EMEA) added: "This acquisition complements McCormick's strong brands across EMEA and expands McCormick's current spice and seasoning leadership in Europe with a sizable footprint in Italy."
D&A's annual sales are about €50 million ($57 million U.S. dollars), with 80% in Italy and 20% exported to 60 other countries. McCormick expects to work with the current owners of the business and to grow sales of D&A products at a mid-single digit rate. The completion of the agreement is expected to occur in May 2015, subject to regulatory approval.
