Keurig Dr Pepper Sells Chobani Stake and Plant for $925M to Cut Debt
KDP sits 29% above its 52-week low of $24.875.
Summary
Keurig Dr Pepper is selling its entire equity stake in Chobani back to the company for $800 million and its Allentown, PA manufacturing facility for $125 million, totaling $925 million in pre-tax proceeds. The company will use the cash to reduce debt, directly supporting its deleveraging goals after the JDE Peet's acquisition. The deal also expands the commercial relationship: KDP keeps distributing La Colombe RTD lattes and other Chobani beverages through its DSD network, plus continues the K-Cup pod licensing. This follows the Q2 2026 earnings beat and the recent executive departures, showing management is actively reshaping the portfolio. The transactions are expected to close in Q3 2026, subject to customary conditions.
At the time of this announcement, KDP was trading at $31.97 on NASDAQ in the Trade & Services sector, with a market capitalization of approximately $43.4B. The 52-week trading range was $24.88 to $33.82. This news item was assessed with neutral market sentiment and an importance score of 9 out of 10. Source: PR Newswire.