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Green Mountain and Coca-Cola close blockbuster deal

  • Green Mountain (GMCR -1.8%) issued 16.68M shares of common stock sold to Coca-Cola (KO +0.3%) at a price of $74.98 each for  total gross proceeds of $1.25B. As previously announced Green Mountain intends to ease the dilution from the deal by  boosting its share buybacks. In addition, a portion of the proceeds will fund capex for the Keurig Cold beverage system.
  • Press release
  • Previous coverage of the deal
  • In other news, Green Mountain's Canada group announces a partnership with Laura Second - Canada's largest chocolatier - to bring Laura Second signature hot chocolate to K-Cup packs in fall of this year.
  • Press release
Comments (10)
  • rambler1
    , contributor
    Comments (467) | Send Message
     
    Great logic sell 'em at $75 buy 'em back at $110.
    27 Feb, 11:23 AM Reply Like
  • benitus
    , contributor
    Comments (1940) | Send Message
     
    Seems to be a scam going on. Ripping off shareholders' value to benefit KO. No wonder the market price has pulled back today.
    27 Feb, 02:09 PM Reply Like
  • Growfast
    , contributor
    Comments (275) | Send Message
     
    I noticed that 74.98 value on the stock. Guess we are headed a good bit lower from current levels before the next rise.
    27 Feb, 11:26 AM Reply Like
  • benitus
    , contributor
    Comments (1940) | Send Message
     
    That's why I shorted this stock at $121 and waiting for it to pull back to $90 at least but the volatility has been good for me.
    27 Feb, 02:11 PM Reply Like
  • fuzzymc
    , contributor
    Comments (118) | Send Message
     
    Don't be scared, that was the price when the deal was announced!
    27 Feb, 11:41 AM Reply Like
  • slcUTAH
    , contributor
    Comments (533) | Send Message
     
    Both companies will benefit immensely from this partnership.

     

    -Cheers
    27 Feb, 11:51 AM Reply Like
  • User 10339391
    , contributor
    Comments (2) | Send Message
     
    With the proceeds from the share sale, $GMCR can only buyback 2/3s of the stock it just issued to
    27 Feb, 09:08 PM Reply Like
  • Boog0822
    , contributor
    Comments (10) | Send Message
     
    Issued almost 17 million new shares? Why would they do that?
    27 Feb, 10:05 PM Reply Like
  • User 10339391
    , contributor
    Comments (2) | Send Message
     
    no they just got the shares at 114.00 to 124.00 sold the share to ko for @ 74.ish and now they are going to buy the shares back @ 114 ish and they just add 16.5 mil. shares to there float what a great deal for the share holders .. and the insiders have been sell like the shares are going to a buck . it is almost funny ..
    28 Feb, 01:50 AM Reply Like
  • racecarjw
    , contributor
    Comments (7) | Send Message
     
    Even the insiders knew to sell at the high over inflated prices that GMCR rose to.
    28 Feb, 01:51 AM Reply Like
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