JDE Peet’s, which claims to be the world’s largest pure-play coffee and tea company, inked a long-term global license agreement to manufacture, market and sell Caribou consumer and foodservice coffee products, excluding Caribou coffeehouses.
That means JDE will become the primary supplier for Caribou’s coffeehouses, and the deal includes JDE operating Caribou’s roasting operations in Minneapolis. European media were reporting JDE will pay $260 million.
The transaction appears to reduce Caribou to franchising and operating its company-owned and licensed shops. Caribou has more than 800 coffeehouses in 11 countries, primarily in the U.S. It’s owned by Panera Brands.
JDE Peet’s sees it as a platform to expand its premium coffee portfolio in North America. Otherwise, details were a little sketchy. “We will work closely with the Caribou team on the ongoing development of Caribou-branded products, as Caribou continues to expand its operations in the United States and abroad,” said Fabien Simon, CEO of JDE Peet’s.
JDE was created in 2014 when Mondelez International and D.E Master Blenders 1753 B.V. combined their coffee businesses. Peet’s chain of coffee shops was added a few years later.