Chobani acquires La Colombe Coffee Roasters

NEW BERLIN, NY.  — Greek yogurt manufacturer Chobani is entering the coffee category with the acquisition of La Colombe Coffee Roasters for $900 million. La Colombe manufactures and markets coffee applications to a variety of channels, including retail, foodservice and direct-to-consumer.

La Colombe will continue to operate as an independent brand, according to Chobani.

“At a time where the industry has faced challenges to grow sales, Chobani has delivered double-digit, volume-led sales growth, and considerable margin expansion,” said Hamdi Ulukaya, founder and chief executive officer of Chobani. “We have never been stronger or better positioned to chart our next chapter of growth. We’ve already made an investment in the coffee category with our creamers and are excited about bringing La Colombe into the Chobani family, and offering the delicious, high-quality cold brew and ready-to-drink craftmanship of La Colombe to a next generation of consumers, powered by a strong distribution partner in KDP.”

In July, Keurig Dr Pepper (KDP) invested $300 million to acquire a 33% stake in La Colombe. The investment was part of a broader partnership between the two companies in which KDP will distribute La Colombe ready-to-drink coffees and manufacture and distribute La Colombe branded K-cup coffee pods in Canada and the United States.

Chobani financed the acquisition through a $500 million loan, cash and the exchange of KDP’s minority equity stake in La Colombe into Chobani equity, the company said.

The acquisition from Chobani and partnership with KDP will enable La Colombe to grow into channels like convenience retail and grow its multi-serve offering, according to Chobani. In addition, the acquisition will enhance La Colombe’s procurement practices, deliver cost synergies, and elevate its overall operational performance.