Zurich : Swiss food giant Nestle said Monday that it will pay $7.15 billion in cash for the rights to market Starbucks products around the world, outside of the company’s coffee shops.
The pact gives Nestle, which owns the Nescafe and Nespresso brands, a strong platform for continued growth in North America, the company said. Nestle is focusing on coffee as a main growth area and has already made some acquisitions in the sector.
“This transaction is a significant step for our coffee business, Nestle’s largest high-growth category,” said Nestle CEO Mark Schneider.
“Both firms have true passion for outstanding coffee and are proud to be recognised as global leaders for their responsible and sustainable coffee sourcing,” he said.
