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Starbucks in talks to acquire Green Mountain

Coffee giant Starbucks is in sales negotiations to acquire Green Mountain.

15 February 2011

Beverage chain Starbucks is holding talks with Green Mountain over a potential deal, it has been reported.

According to news agency Reuters, the coffee giant is holding sales negotiations with the fellow coffee firm in a bid to gain a "dominant position" in the single-cup market.

Following news of the potential link up, share prices of Green Mountain stock enjoyed sharp rises in value, the source said.

While a spokesperson from Starbucks declined to comment on the report, over the weekend the coffee firm announced it has plans in the pipeline to reveal a new product for the single-cup coffee market soon.

Analyst from Canaccord Genulty Scott Van Winkle noted that Green Mountain could offer Starbucks a market opportunity that is hard to resist.

Green Mountain Coffee Roasters was formed in Vermont in 1981 and is now one of the leading speciality coffee firms in the US. The firm also works to promote sustainable coffee.

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