Caribou Coffee to Be Taken Private in $340 Million Deal

Caribou Coffee (UNKNOWN: CBOU.DL  ) announced today that it has agreed to be taken private by the Joh A. Benckiser Group for around $340 million total, $16 per share. Caribou's independent directors have unanimously approved the deal, which offers shareholders an approximately 30% premium over the coffee company's $12.30 pre-announcement share price.

Caribou will continue to operate independently, managing its own brand, executive team, and growth strategy. The Joh A. Benckiser Group specializes in long-term  investments in "premium brands in the Fast Moving Consumer Goods category." It holds majority stakes in Peet's Coffee & Tea and beauty company Coty .

"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, Caribou President and CEO, in a statement today.

"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 stand-alone business out of Minneapolis to ensure the Company continues its current highly successful track record."

Caribou Coffee currently operates 610 coffeehouses in 22 states, the District of Columbia, and 10 international markets. According to the company, based on the number of coffeehouses, Caribou is the second-largest company-operated premium coffeehouse operator in the United States. It was founded in 1992.

Since 2010, the company has boosted sales by 586% and net income by 24%. 

CBOU Revenue Annual Chart

CBOU Revenue Annual data by YCharts

link


Read/Post Comments (0) | Recommend This Article (2)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

Be the first one to comment on this article.

Sponsored Links

Leaked: Apple's Next Smart Device
(Warning, it may shock you)
The secret is out... experts are predicting 458 million of these types of devices will be sold per year. 1 hyper-growth company stands to rake in maximum profit - and it's NOT Apple. Show me Apple's new smart gizmo!

DocumentId: 2157765, ~/Articles/ArticleHandler.aspx, 11/1/2014 1:31:33 AM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...

Today's Market

updated 4 hours ago Sponsored by:
DOW 17,390.52 195.10 1.13%
S&P 500 2,018.05 23.40 1.17%
NASD 4,630.74 64.60 1.41%

Create My Watchlist

Go to My Watchlist

You don't seem to be following any stocks yet!

Better investing starts with a watchlist. Now you can create a personalized watchlist and get immediate access to the personalized information you need to make successful investing decisions.

Data delayed up to 5 minutes

Related Tickers

12/31/1969 7:00 PM
CBOU.DL $0.00 Down +0.00 +0.00%
Caribou Coffee Com… CAPS Rating: ***

Advertisement