Sign up USA
Proactive Investors - Run By Investors For Investors

Caribou Coffee shares rise after news of $340 mln take-private transaction

Caribou Coffee shares rise after news of $340 mln take-private transaction

Shares in Caribou Coffee Company (NASDAQ:CBOU) soared Monday after it announced it will be taken private by Joh. A. Benckiser (JAB) in a $340 millon deal. 

The cofeehouse operator said the $16 per share cash deal, which has been unanimously approved by its board, represents a 30 per cent premium to Caribou's closing stock price on Friday.

Caribou will remain based in Minneapolis, Minnesota, and will continue to operate as an independant company with its own brand and management team. 

“We anticipate the next chapter in Caribou’s journey will be filled with tremendous opportunities to grow this great brand, with new ownership,” said president and CEO Michael Tattersfield.

The deal is subject to various conditions, including majority Caribou shareholder approvals, and other customary conditions. 

“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 chairman of JAB, Bart Becht. “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.”

BDT Capital Partners, a Chicago-based merchant bank that provides long-term private capital to closely held companies, will be a minority investor in the transaction alongside JAB. 

Shares in Caribou rose more than 29 per cent to $16.01 on Monday morning. 



Register here to be notified of future PROAC Company articles
View full PROAC profile View Profile

Proactiveinvestors Timeline

Related Articles

Digital marketing
March 28 2017
Michael Karg, Ebiquity’s CEO, said:“We have already made good progress with our growth acceleration plan, which will replicate our service offering across key territories, further strengthening our ability to service global clients.”
learning symbol on a keyboard
January 16 2017
The English language learning specialist is confident it can kick on in the coming year
social-media.jpg
February 20 2017
One particular development of note is Cello Pulsar, a social media analytics tool that has, according to the experts, the potential to be a real winner.
Copyright © Proactiveinvestors.com, 2017. All Rights Reserved - Proactive Investors North America Inc., Proactive Investors LLC

Market Indices, Commodities and Regulatory News Headlines copyright © Morningstar. Data delayed 15 minutes unless otherwise indicated. Terms of use