Keurig and Dr Pepper Snapple Merge
Coffee conglomerate JAB Holdings, owners of Keurig Green Mountain, Peet’s Coffee & Teas, Panera Bread, Caribou Coffee, Douwe Egberts, Einstein Bagels, and Krispy Kreme Donuts, has announced its intent to enter into an $18.7 billion merger with Texas-based Dr Pepper Snapple Group. Mondelēz International will retain a 14% stake in the venture which is expected to generate about $11 billion in annual sales.
The new firm, to be called Keurig Dr Pepper, “will create a very large beverage company which addresses today’s consumer needs, with a powerful platform of consumer brands and an unparalleled distribution capability to reach virtually every consumer, everywhere,” according to Keurig c.e.o.
Bob Gamgort who will assume the top job in Burlington, Vermont.Larry Young, president and c.e.o of Dr Pepper Snapple, said the combination will “attract new brands and beverage categories to our platform in a fast-changing industry landscape.”