Mccormick & Company (MKC.US) to acquire Sauer Brands, owner of Duke's Mayonnaise, for $1 billion

Global flavor brand McCormick & Company (MKC.US) is in talks to acquire Sauer Brands Inc. from Falfurria Capital Partners.

One person familiar with the matter said the deal could value the company, known for its Duke's mayonnaise brand, at more than $1 billion. The two sides have yet to agree, and the talks could still fall apart or another buyer could emerge.

Falfurrias bought CF Sauer Co. in 2019, which also makes other condiments, spices and herbs. Falfurrias began considering selling the company, now known as Sauer Brands, this year.

McCormick bought Fona International, a condiment manufacturer based in Hunt Valley, Maryland, for $710 million in 2020 and Cholula, a hot sauce maker, for $800 million. McCormick's shares have risen about 17% this year and are worth about $21.5 billion.