Nestle, Starbucks wrap up $7.15 billion licensing deal

A Nestle logo is pictured on a coffee factory in Orbe, Switzerland May 31, 2018. Picture taken May 31, 2018. REUTERS/Denis Balibouse - Copyright DENIS BALIBOUSE(Reuters)

By Reuters

Published on 28/08/2018 - 08:34•Updated 20/04/2024 - 01:53

Comments

ZURICH (Reuters) - Nestle <NESN.S> and Starbucks <SBUX.O> said on Tuesday they had concluded their licensing deal for the Swiss food giant to market the U.S. coffee maker's packaged coffees and teas around the world.

The $7.15 billion (5.61 billion pounds) deal grants Nestle perpetual rights to sell Starbucks products such as Starbucks, Seattle's Best Coffee and TeavanaTM/MC outside of the U.S. company's coffee shops, and will result in about 500 Starbucks employees shifting to Nestle.