Published • loading... • Updated
Keurig Dr Pepper Sells Equity Stake Back to Chobani for $800M
The deal will help Keurig Dr Pepper reduce debt before its planned split while Chobani takes over the former Allentown manufacturing site.
- On Tuesday, Keurig Dr Pepper announced it will sell its full equity stake in Chobani for $800 million and its Allentown, Pennsylvania, manufacturing facility for $125 million, totaling $925 million in pre-tax proceeds.
- The company intends to use the proceeds to reduce debt as it prepares to split into two separate, publicly traded businesses—Beverage Co. and Global Coffee Co.—by early next year.
- Keurig Dr Pepper CEO Tim Cofer said the transactions "reflect the success of our partnership with Chobani," with the companies also expanding their distribution agreement for La Colombe-branded products.
- Chobani Founder and CEO Hamdi Ulukaya said the yogurt maker will invest roughly $1.2 billion over five years into the Allentown campus, adding more than 900 jobs for Pennsylvania farmers.
- To ensure operational continuity, Chobani will retain manufacturing and warehouse employees while producing certain products for Keurig Dr Pepper under a co-manufacturing agreement, with closing expected by end of September.
Insights by Ground AI
11 Articles
11 Articles
Keurig Dr Pepper sells stake in Chobani ahead of split; Corgan enters new market with M&A
Keurig Dr Pepper is selling its stake in Chobani and using the proceeds to reduce debt ahead of a planned split. Private equity firm Align Capital Partners completed an exit, while architecture firm Corgan revealed its latest acquisition to enter another fast-growing market. Read on to learn about these deals and more as September gets off to a quick start.
·Charlotte, United States
Read Full Article
Keurig Dr Pepper to sell back Chobani stake for $925 million
·London, United Kingdom
Read Full Article
Coverage Details
Total News Sources11
Leaning Left1Leaning Right1Center5Last UpdatedBias Distribution72% Center
Bias Distribution
- 72% of the sources are Center
72% Center
14%
C 72%
14%
Factuality
To view factuality data please Upgrade to Premium
