Keurig Dr Pepper to Acquire JDE Peet’s and Separate into Two Independent Global Leaders
Dubai, August 25, 2025 (Qahwa World) – Keurig Dr Pepper (NASDAQ: KDP) and JDE Peet’s (EURONEXT: JDEP) have announced a landmark agreement under which KDP will acquire JDE Peet’s in an all-cash transaction valued at €15.7 billion, followed by a strategic separation into two publicly traded companies: “Global Coffee Co.” as the world’s largest pure-play coffee business, and “Beverage Co.” as a major North American refreshment beverage challenger. Under the agreement, JDE Peet’s shareholders will receive €31.85 per share in cash, representing a 33% premium over the company’s 90-day average share price. The transaction is expected to close in the first half of 2026, subject to customary regulatory approvals.
Following the separation, Global Coffee Co. will become the world’s leading coffee company with approximately $16 billion in annual revenue and operations across more than 100 countries. The new entity will combine KDP’s single-serve leadership in North America with JDE Peet’s global portfolio of iconic brands, including Jacobs, Peet’s, Douwe Egberts, L’OR, Moccona, and OldTown. With leading positions in 40 markets worldwide, the company is expected to generate around $400 million in cost synergies within three years, supported by strong cash generation, consistent earnings growth, and a compelling dividend framework.
“This announcement marks a transformational moment in the beverage industry as we create two winning companies, including a new global coffee champion,” said Tim Cofer, CEO of Keurig Dr Pepper. “The complementary combination of Keurig and JDE Peet’s gives us an exceptional opportunity to build a global coffee giant. This is the right time for this transaction, with KDP in a position of operational and financial strength and with momentum across our evolving portfolio.”
Beverage Co., based in Frisco, Texas, will operate with annual revenues exceeding $11 billion, focusing on the $300 billion North American refreshment market. Its portfolio will include iconic brands such as Dr Pepper®, Canada Dry®, 7UP®, and A&W®, alongside rapid expansion into high-growth segments such as energy drinks, functional beverages, and ready-to-drink alcohol alternatives. The company will also leverage its strong Direct-Store-Delivery system across the U.S. and Mexico, supported by a proven capital-efficient growth model.
Upon separation, Tim Cofer will serve as CEO of Beverage Co., while Sudhanshu Priyadarshi will lead Global Coffee Co. as CEO. Rafa Oliveira will continue as CEO of JDE Peet’s until the transaction closes. Global Coffee Co. will be headquartered in Burlington, Massachusetts, with its international base in Amsterdam, the Netherlands.
The acquisition, unanimously approved by JDE Peet’s Board of Directors, will be financed through a combination of new debt and existing cash resources, with full underwriting secured by affiliates of Morgan Stanley and Mitsubishi UFJ Financial Group. Closing of the transaction is anticipated in early to mid-2026, followed shortly by the spin-off of Global Coffee Co. as a tax-free distribution to KDP shareholders.
