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Tuesday, September 14, 2010
Green Money from Green Mountain Coffee
Green Mountain Coffee Roasters Inc. has decided to purchase private company and popular coffee brewer Van Houtte for $915 million CAD. Shares of Green Mountain are down 1.28% in early afternoon trading. The company plans to finance the deal by issuing over $1.3 billion in debt, a move that is dilutive to share prices. The takeover will greatly increase the K-cup company's presence in Canada. "It's a smart move," said Andy "Raw" Kibbens co-CEO of The Markets Are Open, "but they need to incorporate and plan the expansion of Van Houtte into their business. The coffee market in Canada is very competitive."
Labels:
Green Mountain Coffee,
Van Houtte