JAB increases majority stake in JDE Peet’s with $2.4 billion buyout of Mondelez’s shares

(Reuters) -German conglomerate JAB said on Monday it will acquire Mondelez (NASDAQ:MDLZ)’s minority stake in Dutch coffee maker JDE Peet’s in a 2.2 billion euro ($2.4 billion) deal that will increase JAB’s holding to 68%.

JAB said it will pay 25.10 euros per share for Mondelez’s 86 million shares, or 17.6% stake, in JDE Peet’s, owner of brands including Douwe Egberts and Kenco.

JAB will distribute 9% of JDE Peet’s share capital to limited partners of JAB Consumer Partners, increasing the free float to 32%.

JDE Peet’s said it had appointed Rafael Oliveira, who has been an executive at Kraft Heinz (NASDAQ:KHC) in various capacities over the past 10 years, as its chief executive officer, effective Nov. 1.

Oliveira takes over from CFO Scott Gray who temporarily handled responsibilities after interim CEO Luc Vandevelde stepped down in August after just four months, with the company citing “unforeseen matters that required his immediate attention” as the reason for Vandevelde’s resignation.

($1 = 0.9213 euros)