Mondelez International Inc and competitor D.E Master Blenders 1753 are merging their coffee businesses in a deal aimed at taking on market leader Nestle SA .The merger announced on Wednesday will marry Mondelez's grocery coffee brands such as Carte Noire and Gevalia with D.E Master Blenders' L'OR, Pilao and Senseo brands. The new company will be a joint venture controlled by D.E Master Blenders' parent JAB Holding Co.Mondelez, whose shares were up nearly 8 percent in midday trading, said it would receive about $5 billion and a 49 percent stake in the new combined company.The company, to be called Jacobs Douwe Egberts, will be run by the current management of D.E Master Blenders, and will be based in the Netherlands.
Mondelez International, Inc. (Mondelez International), is a snack manufacturing company. Shares of MDLZ traded higher by 7.89% or $2.78/share to $38.00. In the past year, the shares have traded as low as $28.22 and as high as $36.12. On average, 9034430 shares of MDLZ exchange hands on a given day and today's volume is recorded at 19602088.
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