Keurig Dr Pepper takes stake in La Colombe Espresso Roasters

BURLINGTON, VT. — Keurig Dr Pepper Inc. has invested $300 million to amass a 33% stake within the La Colombe Espresso Roasters. The funding is part of a broader partnership between the 2 corporations through which Keurig Dr Pepper will distribute La Colombe ready-to-drink coffees and manufacture and distribute La Colombe branded Okay-cup espresso pods in Canada and the US.

Primarily based in Philadelphia, La Colombe manufactures and markets espresso purposes to a wide range of channels, together with retail, branded cafes, foodservice and direct to client. Hamdi Ulukaya is almost all proprietor and chairman of La Colombe. Mr. Ulukaya is also the founder and chief govt officer of the yogurt producer Chobani, LLC.

“We’re excited to companion with Hamdi and the La Colombe staff to drive worth for each corporations,” mentioned Bob Gamgort, chairman and CEO of Keurig Dr Pepper. “This partnership will allow KDP to develop its attain into excessive progress ready-to-drink and tremendous premium espresso segments and can meaningfully enhance La Colombe’s availability to customers.”

The transition of La Colombe RTD espresso distribution to Keurig Dr Pepper will start in late 2023 and the launch of La Colombe branded Okay-Cup pods will happen throughout 2024, in line with Keurig Dr Pepper.

“I’m extraordinarily excited to hitch forces with Bob and his staff at KDP to carry La Colombe to each nook of this wonderful nation,” Mr. Ulukaya mentioned. “I joined the La Colombe journey eight years in the past as a result of I imagine in its mission, high quality, craftsmanship and social affect — and that everybody deserves high quality, crafted, pure espresso. With this partnership we’ll be nearer to fulfilling the mission of offering distinctive espresso to all.”

This previous December, Keurig Dr Pepper paid $863 million to amass a 30% stake in Nutrabolt, the proprietor of the C4 Vitality, C4 Pre-Exercise and XTEND beverage manufacturers. An extended-term gross sales distribution settlement additionally was part of the settlement.

In November 2022, the corporate acquired a minority place within the Athletic Brewing Co. for $50 million.