‘A new challenger in the beverage industry’: Keurig Dr Pepper announces merger completion

Keurig Dr Pepper has announced the successful completion of the merger between Keurig Green Mountain and Dr Pepper Snapple Group: creating the seventh-largest company in the US food and beverage sector and third-largest beverage company in North America, with annual revenues of approximately $11bn.

The merger – which sees the creation of Keurig Dr Pepper – was announced in January and brings together coffee and soda brands such as Dr Pepper, 7UP, Snapple and Green Mountain Coffee Roasters, along with Keurig’s single-serve coffee system.

Bob Gamgort, CEO, Keurig Dr Pepper said: “The combination of these two great companies creates the scale, portfolio and selling and distribution capabilities to compete differently in the beverage industry.

“With a large stable of iconic brands and the leading single-serve coffee brewing system on the market, KDP has the ability to satisfy any beverage need or consumption occasion—hot or cold, at work or at play, at home or on the go—and the capability to get our brands to consumers virtually anytime and anywhere they purchase beverages.”

How does Keurig Dr Pepper size up?

PepsiCo: $63bn annual net revenue

Coca-Cola: $42bn annual net revenue

Keurig Dr Pepper: estimated $11bn annual sales

Shares in Keurig Dr Pepper begin trading on the New York Stock Exchange today (July 10), under the ticker symbol KDP.

Keurig Dr Pepper will maintain dual headquarters in Burlington, Massachusetts; and Plano, Texas.

Keurig was acquired by private equity firm JAB Holdings Co in 2016, which also counts Krispy Kreme Doughnuts, Caribou Coffee, Peet's Coffee & Tea and Jacobs Douwe Egberts as part of its portfolio.