KDP Just Posted Its Best Earnings Streak in Years, and a Game-Changing Acquisition Closes in 6 Weeks - 24/7 Wall St.[S&P 5006,840.40 -0.11%][Dow Jones48,869.20 +0.04%][Nasdaq 10024,790.20 +0.19%][Russell 20002,622.37 -0.23%][FTSE 10010,691.30 +0.07%][Nikkei 22557,665.30 +1.52%][Stock Market Live February 24, 2026: S&P 500 (SPY) Rebounding from Monday Disaster][Investing]# KDP Just Posted Its Best Earnings Streak in Years, and a Game-Changing Acquisition Closes in 6 Weeks### Quick ReadKeurig Dr Pepper (KDP) ...

Core Viewpoint - The acquisition of JDE Peet's by Keurig Dr Pepper (KDP) aims to create a global coffee leader, enhancing KDP's coffee positioning and establishing two independent companies focused on distinct beverage markets [1][4][6] Acquisition Details - KDP will acquire JDE Peet's for €31.85 per share, totaling approximately €15.7 billion, which represents a 33% premium over JDE Peet's 90-day average stock price [2][15] - The transaction will be funded through a combination of new debt and cash on hand, with KDP maintaining an investment-grade rating post-acquisition [16][51] Strategic Rationale - The acquisition is expected to unlock approximately $400 million in cost synergies over three years and provide earnings per share (EPS) accretion starting in the first year [4][6] - The combined company will have a strong, diversified global coffee portfolio, reaching over 100 countries and holding leading market positions in 40 of them [5][11] Company Structure Post-Acquisition - Upon separation, Global Coffee Co. will be the world's largest pure-play coffee company with approximately $16 billion in annual net sales, while Beverage Co. will focus on the North American refreshment beverage market with over $11 billion in annual net sales [5][6] - Tim Cofer will serve as CEO of Beverage Co., and Sudhanshu Priyadarshi will lead Global Coffee Co. after the separation [12][13] Market Position and Growth Potential - Global Coffee Co. will leverage its extensive portfolio, including brands like Keurig, Jacobs, L'OR, and Peet's, to drive innovation and growth in the $400 billion coffee category [5][10] - Beverage Co. will capitalize on its strong free cash flow and capital-efficient growth model to enhance shareholder returns and invest in organic and inorganic growth opportunities [7][10][21] Future Outlook - The transaction is expected to close in the first half of 2026, subject to customary conditions and regulatory approvals [17][19] - Both companies will be positioned to deliver attractive returns to their respective investor bases through tailored growth strategies and capital allocation frameworks [9][10]