Sauer Brands Inc. has entered into a definitive agreement to sell its spice business, including Kernel Season’s, Spice Hunter and Sauer’s branded spices and seasonings, to The Watkins Company, uniting two of the food industry’s oldest heritage names in a deal that reshapes both companies’ center store presence.
The transaction, expected to close by the end of the third quarter of 2026, also includes Sauer Brands’ spice-related private label and foodservice businesses and its manufacturing facilities in Richmond, Virginia, and San Luis Obispo, California. Financial terms were not disclosed.
Sauer Brands’ mayonnaise and condiment products – including those sold under the Sauer’s name – are not part of the deal.
Two venerable brands
The sale carries historical weight: spices and extracts were the founding business of The C.F. Sauer Company, established in Richmond in 1887, four decades before it acquired Duke’s Mayonnaise in 1929. The divestiture leaves the Advent International-backed company focused on the condiments portfolio that now drives its growth.
“Duke’s Mayonnaise and Mateo’s Gourmet Salsa are growth leaders in their respective categories, beloved by a loyal and growing consumer base, and each has significant runway as they evolve from regional favorites into brands with national scale,” said E. Yuri Hermida, CEO of Sauer Brands. “Our spice business represents an important part of the Sauer Brands heritage. Watkins recognizes the value these spice and seasoning brands have built over the years, and we are confident it will be the ideal home to support its continued growth.”
For Winona, Minnesota-based Watkins, founded in 1868, the acquisition significantly expands a spice and seasoning platform built over more than 150 years, adding Kernel Season’s, the top-selling popcorn seasoning brand, along with branded, foodservice and private label capacity.
“Kernel Season’s, Spice Hunter and Sauer’s branded spices and seasonings are exactly the kind of high-quality brands that complement the heritage business Watkins has been growing for more than 150 years,” said J.R. Rigley, CEO of The Watkins Company. “We see significant potential in using Watkins’ expertise and steadfast reputation to expand our reach in branded, foodservice and private label categories.”
Centerview Partners acted as financial advisor and Foley & Lardner LLP as legal counsel to Sauer Brands. Intrepid Investment Bankers acted as financial advisor and Faegre Drinker as legal counsel to Watkins.
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