Keurig Dr Pepper launches $18 billion takeover bid for JDE Peet's

U.S. soft drinks giant Keurig Dr Pepper (KDP) has launched an $18 billion all-cash bid to acquire Dutch coffee and tea company JDE Peet's (JDEP). The offer of €31.85 per share has already received backing from JDE Peet's board and a majority of shareholders. The deal is expected to close in the second quarter of 2026.

The acquisition aims to create a global coffee company capable of rivaling Nestlé, combining Keurig’s beverage portfolio, including Dr Pepper sodas, with JDE Peet’s coffee and tea operations. Following the merger, Keurig plans to split the combined business into two publicly traded companies, separating coffee and other beverages.

Global coffee prices have reached record highs due to droughts in Brazil and Vietnam, along with import tariffs introduced by the U.S. government. To finance the deal, Keurig raised $7 billion from private equity investors in October, addressing concerns over debt levels.

Competition approvals have been obtained, and investors holding 69% of JDE Peet's shares have already committed to the offer, ensuring broad support for the takeover. The move represents one of the largest European acquisitions in recent years and a significant step in consolidating the global coffee market.