The Rising Influence of Rising Affluence

[acgood]

Mondelez International Inc. plans to combine its coffee business with D.E Master Blenders 1753 B.V. of Europe to create a more formidable rival to Nestlé SA in the battle for the world's bubbling coffee market. Under the deal announced Wednesday, Mondelez will hand over its coffee brands, including Gevalia and Jacobs, in exchange for $5 billion in cash and a 49% stake in the new company, to be called Jacobs Douwe Egberts.

… Master Blenders is owned by investment group Joh. A. Benckiser, which bought it last year for nearly $10 billion after the coffee company was spun off from Sara Lee Corp. in 2012.

Note Benckiser bought the Peet's and Caribou coffee chains in the US in recent years as well