FTSE 100 giant Unilever has confirmed it received an offer from US firm McCormick for its foods business, which includes Hellmann’s and Marmite

FTSE 100 giant Unilever has confirmed it is in discussions to sell off its foods division, which includes iconic brands like Hellman’s and Marmite.

The mayonnaise-maker said it has received an approach from US seasoning manufacturer McCormick and is now in talks with the company.

The firm has been focusing on its €13billion (£11.2billion) beauty and personal care brands following the appointment of new chief executive Fernando Fernandez, as the business undergoes a cost-cutting programme.

Unilever said: “The board believes Foods is a highly attractive business, with a strong financial profile led by market-leading brands in growing categories and is confident in the future of the Foods business as part of Unilever.”

Addressing “media speculation” surrounding a potential deal, the firm said: “There can be no certainty that any transaction will be agreed”.

Shares in the company rose one per cent following the announcement, to 4,631p, leaving the stock down four per cent in the year to date, as reported by City AM.

Unilever announced plans last year to spin off its Ben & Jerry’s ice-cream brand and chose to list in Amsterdam, in a setback to the London Stock Exchange.

The company had been mulling further spin-offs of some of its most recognisable brands including Marmite in recent days, according to Bloomberg.

Unilever had also held discussions with Kraft Heinz, according to reports, over a deal which would have brought together mayonnaise and ketchup, but has since abandoned any agreement. The megamerger – between Unilever’s food brands and Heinz’s condiments division – would have created a new entity worth billions of dollars, the Financial Times reported.

Despite cost-reduction measures which had resulted in thousands of redundancies, the firm reported a decline in turnover over the past year, falling four per cent to €50.5bn.

Unilever’s beauty and wellbeing division experienced the smallest decline in turnover, dropping 2.3 per cent, whilst its foods and home care segments witnessed larger falls of 3.2 and 6.4 per cent.

Fernandez had stated that “slowing markets” were responsible for the underwhelming results, as he maintained that his transformation was producing a “simpler, sharper and faster Unilever”.

The business invested €599m in its reorganisation over the past year, 1.2 per cent of turnover, though this was lower than the €710m allocated in the previous year.

The food and consumer goods behemoth was established in 1930 following a merger between Dutch margarine manufacturer Unie and British soap maker Lever, and is based in London.