Aug. 25 (UPI) -- The Keurig Dr Pepper beverage company announced Monday that it will acquire the JDE Peet's coffee business and then split into two companies.
The deal will see Keurig Dr Pepper buy JDE Peet's for around $18 billion in cash, bringing all of JDE Peet's brands into Keurig. Keurig Dr Pepper will then separate into an independent coffee company named "Global Coffee Co." and a North American refreshment group called "Beverage Co."
"Today's announcement marks a transformational moment in the beverage industry, as we build on KDP's disruptive legacy by creating two winning companies, including a new global coffee champion," said Keurig Dr Pepper CEO Tim Cofer in the release.
"By creating two sharply focused beverage companies with attractive and tailored growth propositions and capital allocation strategies, we are poised to generate significant shareholder value in both the near and long term," he added.
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