Green Mountain Coffee Roasters to purchase rival Van Houtte for $890 millionBy AP
Tuesday, September 14, 2010
Green Mountain to buy Van Houtte for $890 million
WATERBURY, Vt. — Green Mountain Coffee Roasters says it will buy competitor Van Houtte for $890 million in an attempt to get a better foothold in the Canadian market.
Van Houtte, which is a Keurig single-cup coffee machine licensee and is based in Montreal, has coffee brands including Brulerie St. Denis and its namesake.
Van Houtte CEO Gerard Geoffrion will remain with the company after the deal’s closing.
The acquisition will be funded with available cash and $1.35 billion in new debt financing. The deal is expected to close by year’s end.
Shares of Green Mountain, based in Waterbury, Vermont, slipped 49 cents to $34.75 in premarket trading.