Coca-Cola closes on minority equity acquisition of GMCR
Coca-Cola Co. now owns approximately 10 percent of GMCR
The Coca-Cola Co., Atlanta, and Green Mountain Coffee Roasters Inc. (GMCR), Waterbury, Vt., announced the closing of the previously announced private placement of GMCR common stock to The Coca-Cola Co. for total gross proceeds of approximately $1.25 billion. In connection with the closing, GMCR issued 16,684,139 newly issued shares of common stock at a purchase price of $74.98 a share to a wholly owned subsidiary of The Coca-Cola Co.
As previously announced, GMCR intends to execute a meaningful share repurchase program to reduce dilution from the transaction executed under GMCR's existing $1.1 billion share repurchase authorization. In addition, it intends to use a portion of the proceeds from the new equity issuance to fund anticipated capital expenditures for its Keurig Cold beverage system over the next several years, it says.
For more information about the initial announcement, click here.