Keurig Dr Pepper Moves to Acquire JDE Peet’s for $18 Billion

Keurig Dr Pepper Inc. is nearing a significant acquisition of European coffee giant JDE Peet’s NV for approximately $18 billion. This move aims to enhance Keurig’s coffee segment, which has faced challenges recently. An official announcement regarding the deal could come as early as Monday, according to sources familiar with the negotiations.

The Wall Street Journal first reported these discussions, highlighting that the combined entity plans to separate its beverage and coffee operations post-acquisition. This shift would effectively reverse the 2018 merger that integrated Keurig and Dr Pepper.

Both companies have yet to provide comments on the matter as discussions remain confidential. JDE Peet’s currently holds a market capitalization of around $15 billion, while Keurig Dr Pepper boasts a market value nearing $50 billion.

Keurig’s coffee sales in the United States showed little change in the second quarter of 2025. The company has struggled with rising prices for its K-Cups, which have been countered by a decline in shipments of both single-serve pods and coffee brewers. In a report released in July, Keurig indicated that its coffee business might experience subdued performance for the remainder of the year, partly due to inflationary pressures and tariffs on imports.

According to Kenneth Shea, a senior consumer products analyst at Bloomberg Intelligence, the US coffee division’s sales and profits were negatively impacted by price hikes aimed at offsetting increased green coffee costs. Shea noted that these price adjustments could continue to affect the segment adversely throughout the year.

In contrast, JDE Peet’s, headquartered in Amsterdam, surpassed organic revenue expectations for the first half of 2025. This positive performance could make the acquisition more appealing for Keurig Dr Pepper, as it seeks to revitalize its coffee offerings in a competitive market.

As the coffee industry navigates fluctuating demand and pricing challenges, the potential acquisition of JDE Peet’s by Keurig Dr Pepper could mark a pivotal moment in the landscape of global coffee retail.