Keurig Green Mountain has entered into an agreement to acquire the outstanding equity of MDS Global Holding p.l.c. (“Bevyz”). The transaction is valued at approximately €178 million euros, in cash, or approximately $220 million based on exchange rates as of the close of business on December 3, 2014.
Keurig currently owns approximately 15% of Bevyz on a fully diluted basis and will fund the acquisition with cash on hand. The transaction is subject to customary closing conditions and is expected to close in the next month.
Founded in 2004 by Edouard Sterngold and Eva Schwarz, Bevyz has developed a unique, patented single-portion multi-drink system that dispenses an extensive range of premium tasting hot and cold beverages.
“The acquisition of Bevyz adds unique and complementary technology and research and development capabilities,” said Brian Kelley, Keurig’s President and CEO.
As previously announced, Keurig will launch its Keurig Cold platform in the fall of 2015. According to the company, the new beverage system will offer consumers a convenient, sustainable way to enjoy freshly-made cold beverages including carbonated drinks, enhanced waters, juice drinks, sports drinks and teas.
“We are extremely excited about this development as we believe Keurig’s innovative approach and business model are directly aligned with our mission to deliver superior, in-home beverage experiences to consumers,” said Edouard Sterngold, Bevyz’s founder and CEO. “We’re excited to become part of the Keurig team and believe this acquisition is financially compelling for our shareholders and creates new opportunities for our employees.”
Following the acquisition, Bevyz’s roughly 50 employees will become part of Keurig’s technology and product systems teams and are expected to continue to be located primarily in the Netherlands and Malta.
Earlier this year, Cuisinart and Bevyz entered into a distribution partnership to sell the “Cuisinart powered by Bevyz” Multi-Drink System, which was introduced at the 2014 International Home + Housewares Show. At time of launch, the unit was touted by Cuisinart officials as providing an array of hot and cold beverages on demand that could be dispensed from one countertop appliance.