Nestle Spending $7.15 Billion to Acquire Starbucks 'Packaged Coffee and Tea Business
According to the latest news from China Coffee Network (gafei.com), the global coffee leader Nestl é and the US coffee brand Starbucks jointly announced today that they will form a partnership alliance. Nestl é will buy Starbucks' retail coffee business for $7.015 billion, and the former will acquire part of the retail business outside Starbucks' own stores, including the global sales rights of Starbucks' packaged coffee and tea.
The two global coffee giants simultaneously issued a statement on the 7th, announcing that the two companies have reached an agreement that Nestl é will acquire Starbucks coffee and food products for 7.015 billion US dollars to sell permanently around the world.
But Starbucks' own chain stores and canned ready-to-drink products will not be affected by the deal. Starbucks is still the owner of the relevant brands and the supplier of products. It is estimated that about 500 Starbucks employees will be transferred to Nestle.
Starbucks said that after the agreement is funded, it will accelerate share buybacks in the future, which will increase the company's earnings per share by 2021, and Nestl é expects the benefits to be seen in 2019.
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