Coca-Cola Completes Acquisition Of Costa Coffee From Whitbread
Tuesday, January 8th, 2019 | 965 Views
Soft drinks giant, The Coca-Cola Company, has successfully completed the acquisition of international coffee brand, Costa Coffee, from Whitbread PLC for USD $4.9 billion. The acquisition was first announced on 31 August 2018.
Costa, being the biggest coffee chain behind Starbucks and operating in over 30 countries, will give Coca-Cola a significant foothold in the fast-growing coffee business. With the acquisition completed, Coca-Cola now owns 4,000 Costa stores in 32 countries, including 8,000 self-serve Express machines.
The Coca-Cola company has plans to expand Costa’s brand into at-home-coffee, featuring ready-to-drink products as well as potentially adjacent categories like tea.
“We see great opportunities for value creation through the combination of Costa’s capabilities and Coca-Cola’s marketing expertise and global reach,” said James Quincey, CEO of The Coca-Cola Company. “Our vision is to use the strong Costa platform to expand our portfolio in the growing coffee category.”
“We wish our friends and colleagues at Costa all the very best for their future success,” said Alison Brittain, Whitbread Chief Executive. “Whitbread acquired Costa 23 years ago, when it had only 39 shops. Costa has grown to become a leading, international coffee brand, and Coca-Cola is the right partner to take Costa to the next stage of expansion.”