Douwe Egberts supports US$9.8 billion JAB takeover proposal

Douwe Egberts Master Blenders has signaled its support for $US9.78 billion takeover offer made by an investor group led by Joh. A Benckiser (JAB). The group has made an offer of $US16.34 per ordinary share for the Douwe Egberts stock, a 36 per cent premium on its average price over the past three months. “JAB is very happy with management's current strategy of investing in the quality and innovation of DEMB's key brands, to drive above industry average growth,” Bart Becht, Chairman of JAB said in a statement Under the deal, Douwe Egberts’ headquarters and research and development will remain in The Netherlands and the company will continue to be a separate legal entity. JAB will also keep all of the company's manufacturing facilities that are currently in The Netherlands operational. The two parties are now seeking regulatory approval for the deal, which they hope to formalise as soon as possible.