Vermont Business Magazine Following a successful second quarter report last week, Keurig Green Mountain (NYSE:GMCR) shares rose again on Tuesday after an SEC filing indicated that Coca-Cola had increased its ownership of the Waterbury-based company to 16 percent. Investors had pushed GMCR shares higher based on the expectation that Coke would take a larger share of the company following its $1 billion buy earlier in the year and its partnership with Keurig on a home soda-making machine. The idea was that Coke would be able to compete with SodaStream, the popular at-home beverage company.
Shares of GMCR have spiked since the May 7 quarterly report, going from $92.21 to a close Tuesday of $110.71. Shares then kept increasing to over $119 in after-hours trading. Along with a 10 percent increase in net sales, GMCR announced on May 7 an expanded agreement with Folgers-maker JM Smucker to expand its Folgers line and a stock repurchase program valued at $1 billion.
Keurig released the expanded Coke purchase SEC filing May 13. It states, in part:
"As of the date hereof, the Reporting Persons may be deemed to beneficially own an aggregate of 26,037,771 shares of Common Stock, which amount includes 19,489,730 shares of Common Stock held by Atlantic and which amount further assumes that Atlantic has the right to acquire up to 6,548,041 shares of Common Stock pursuant to the Agreement (subject to final determination as set forth in item 6 below), notwithstanding that any such right is subject to the terms and conditions of the Agreement, including without limitation CS’s power to determine the date on which Atlantic’s purchase of such shares will occur. As the ultimate parent company and controlling shareholder of Atlantic, TCCC may be deemed to share with Atlantic voting power and dispositive power with respect to the 19,489,730 shares of Common Stock held by Atlantic. The Reporting Persons do not have voting or dispositive power with respect to the shares of Common Stock that Atlantic has agreed to purchase pursuant to the Agreement. The aggregate number of shares of Common Stock that may be deemed to be beneficially owned by the Reporting Persons represents approximately 16.0% of the currently outstanding Common Stock of the Issuer (based on the 162,736,073 shares of Common Stock that were issued and outstanding as of May1, 2014, as reported in the Issuer’s Quarterly Report on Form10-Q filed with the Securities and Exchange Commission on May7, 2014)."
Atlantic Industries, a corporation organized and existing under the laws of the Cayman Islands, is an indirect wholly owned subsidiary of The Coca-Cola Company.
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Keurig Green Mountain reports Q2 2014 results, $1 billion stock repurchase, shares rise
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Vermont Business Magazine Keurig Green Mountain, Inc, (Keurig) (NASDAQ: GMCR), a leader in specialty coffee, coffee makers, teas and other beverages based in Waterbury, Vermont, reported after trading ended on Wednesday its results for the 13 weeks ended March 29, 2014. It also announced an expanded agreement with Folgers-maker JM Smucker and a stock repurchase valued at $1 billion.
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Green Mountain Coffee Roasters, Inc shares rose rapidly in after hours trading Wednesday to over $110 per share on the news that Coke would buy 10 percent of the company.
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SodaStream International Ltd. Earnings: Is the Future at Risk?
Motley Fool - by Dan Caplinger - 1 day ago
SodaStream International (NASDAQ: SODA) will release its quarterly report on Wednesday, in the face of the specter of strong competition that has reared its ugly head in recent months. With home-brew giant Keurig Green Mountain (NASDAQ: GMCR) having formed a partnership with beverage behemoth Coca-Cola (NYSE: KO) connected to its planned Keurig Cold carbonated beverage offering, SodaStream has to figure out how to respond in the time left before the new system comes on the market.