Caribou Coffee Company and the Joh. A. Benckiser Group (JAB) announced on 18 December a definitive merger agreement under which an affiliate of JAB will acquire Caribou for US$16 per share in cash, or a total of approximately $340 million. This is the second acquisition of a coffee company that JAB has announced this year. In July 2012, the group announced it would purchase Peet's Coffee and Tea Company for approximately US$1 billion. It now adds Caribou Coffee Company to its holdings, the second-largest company-owned premium coffeehouse operator in the United States based on the number of coffeehouses. The agreement, which has been unanimously approved by Caribou’s independent directors, represents a premium of approximately 30 per cent over Caribou’s closing stock price on 14 December 2012. At the close of the transaction, Caribou will continue to be operated as an independent company with its own brand, management team and growth strategy, the companies said in a joint statement. Caribou will remain based in Minneapolis, Minnesota. “Caribou Coffee is a great company, with dedicated people, world-class customer service, exceptionally high quality coffeehouse beverages and food and a state-of-the-art roasting facility. The employees of Caribou should feel very proud of all they’ve been able to accomplish over the years, and I look forward to continued success in Caribou’s future,” said Gary Graves, Non-Executive Chairman of Caribou, in a statement. “We anticipate the next chapter in Caribou’s journey will be filled with tremendous opportunities to grow this great brand, with new ownership,” said Michael Tattersfield, President and Chief Executive Officer of Caribou. “Caribou has a fantastic brand and unique culture, and fits perfectly with JAB’s investment philosophy of investing in premium and unique brands in attractive growth categories like coffee,” said Bart Becht, Chairman of Joh. A. Benckiser Group. “JAB is committed to investing in Caribou as a standalone business out of Minneapolis to ensure the company continues its current highly successful track record.”
