Costa has agreed to a $5.1 billion offer from Coca-Cola.
Photo: Daniel Berehulak/Getty Images
Photo: Daniel Berehulak/Getty Images

Coca-Cola agrees to buy Costa Coffee chain for $5.1 billion

Coca-Cola is getting a jolt of caffeine.

>> Read more trending news 

The company agreed to buy Costa, the largest chain in the United Kingdom, for $5.1 billion, The Guardian reported Friday.

Alison Brittain, the chief executive of Whitbread, which owns Costa, said Coca-Cola’s offer led to “an absolutely stonking deal,” the newspaper reported.

Costa has nearly 4,000 stores in 32 countries, The Guardian reported.

The deal will give Coca-Cola “a strong coffee platform across parts of Europe, Asia Pacific, the Middle East and Africa, with the opportunity for additional expansion," the company said in a statement.

Whitbread bought Costa in 1995 from its founders, Sergio and Bruno Costa. Stock for Costa jumped 15 percent Friday, The Guardian reported.

The deal still needs to be approved by shareholders and regulators, CNN reported. The companies expect to complete the deal in early 2019.

Thank you for reading the Journal-News and for supporting local journalism. Subscribers: log in for access to exclusive deals and newsletters.

Thank you for supporting in-depth local journalism with your subscription to the Journal-News. Get more news when you want it with email newsletters just for subscribers. Sign up here.

X