Dr Pepper Snapple, Keurig Green Mountain Announce Merger Pact

Posted On: 1/30/2018

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WATERBURY, VT -- Keurig Green Mountain and Dr Pepper Snapple Group (Plano, TX) have announced their entry into a definitive agreement to create Keurig Dr Pepper. This entity combines an extensive portfolio of leading brands with a distribution system that reaches consumers through nearly all retail channels.

Dr Pepper Snapple's brands include A&W, Dr Pepper, Mott's, 7Up, Snapple and Sunkist. Keurig Green Mountain brings its own leading Green Mountain Coffee Roasters brand and more than 75 owned, partner and licensed brands to the combined organization.

Robert Gamgort, chief executive officer of Keurig Green Mountain, will head the new company. Dr Pepper Snapple chief executive officer Larry Young will assist in the transition and serve on KDP's board of directors. Each company will continue to operate from its present headquarters.

Shareholders of Dr Pepper Snapple will receive $103.75 per charge as a special cash dividend, and will retain 13% of the new company. KDP will have pro forma combined annual revenues of some $11 billion for 2017. KDP's shares will trade on the New York Stock Exchange.