Keurig Dr Pepper plans $2 billion stock offering to cut debt ahead of split

Nov 12 (Reuters) – Keurig Dr Pepper said on Thursday it plans to raise $2 billion through an underwritten public stock ​offering, as the beverage maker seeks ‌to reduce debt ahead of its planned breakup into two publicly traded companies early next year. • Keurig Dr Pepper announced last year it would separate into ‌two ​independent companies, Beverage Co. and ⁠Global Coffee Co., ⁠with the transaction expected to close in early 2027 • The company on Thursday said it intends to use the net proceeds ​to repay or repurchase about $2 billion of outstanding debt • The company added it ⁠would also grant underwriters ⁠a 30-day option to purchase up ​to an additional $300 million of shares at the ​offering price • Goldman Sachs and Morgan ‌Stanley are acting as joint book-running managers for the offering • As of September 30, 2026, Keurig Dr Pepper reported long-term debt excluding ⁠capitalized leases of about $21.06 billion, according to its latest quarterly filing • Keurig completed the $18 billion buyout ⁠of Dutch ‌coffee and tea company JDE ⁠Peet’s in April • Last week, Keurig ​said ‌it expects slower US coffee ​profit growth ⁠in the fourth quarter on cautious spending and increased competition from private players • Shares of the company fell about 4% in premarket trading (Reporting by Koyena Das in Bengaluru; Editing by ​Vijay Kishore)