Panera sold to Caribou Coffee parent in $7.5 billion deal

St. Louis-based Panera Bread Co. is being acquired by Caribou Coffee parent JAB Holding Co. in a deal valued at $7.5 billion.

The deal for JAB is the latest in a series for the company that paid $340 million for Caribou in 2013. Since then it's added brands like Peet’s Coffee and Tea, Einstein Bros. Bagels, Keurig Green Mountain and Krispy Kreme, and worked to combine some of its holdings, such as Caribou/Einstein combo locations.

The St. Louis Business Journal reports JAB will pay $315 per share in cash for Panera, a premium of about 30 percent to Panera's 30-day-volume-weighted stock price as of March 31, the last day before news broke regarding a potential sale.

The deal would make Panera, which has several locations throughout the Twin Cities, a private company. Luxembourg-based JAB is acquiring Panera through JAB BV, an investment vehicle of JAB Consumer Fund and JAB Holding Co. JAB Holding and JAB Consumer Fund also have controlling stakes in companies such as Keurig Green Mountain and Krispy Kreme Doughnuts.

"In more than 25 years as a publicly traded company, Panera has created significant shareholder value," Ron Shaich, founder, chairman and CEO of Panera, said in a statement. "Indeed, Panera has been the best performing restaurant stock of the past 20 years – up over 8,000 percent. Today's transaction is a direct reflection of those efforts, and delivers substantial additional value for our shareholders."

The deal is expected to close in the third quarter, subject to approval from Panera's shareholders and regulatory approvals.

Panera reported $2.8 billion in revenue for fiscal 2016, up from $2.68 billion in 2015.

Reported by:  Bizjournals.com