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Starbucks says it is not buying Chipotle after takeover speculation
The coffee chain said it is focused on its turnaround, while Chipotle shares fell more than 2% in premarket trading, analysts said.
- On Monday, Starbucks Corp denied plans to acquire Chipotle Mexican Grill, ending speculation about a potential mega-deal. "Starbucks is not buying Chipotle," a Starbucks spokesperson told CNBC.
- The Financial Times reported Thursday that Starbucks explored a takeover proposal in recent months, citing people familiar with the matter. Starbucks had previously issued a non-definitive statement regarding the rumors.
- Following the denial, Chipotle's stock fell more than 2% in premarket trading Monday, while Starbucks shares rose more than 1%. Earlier rumors had driven Chipotle's stock higher and Starbucks shares lower.
- Starbucks CEO Brian Niccol is currently leading the company's turnaround program, which shareholders feared would be an expensive distraction. Niccol previously led Chipotle until late 2024.
- Both companies are back to trading on their own fundamentals following the denial. Chipotle shares have plunged about 20% over the last year as the chain attempts to recover from lagging traffic.
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Morning Business Report: Starbucks denies Chipotle takeover rumors as gas prices remain above $4
(LILAMAX)- Starbucks is denying reports that it plans to acquire Chipotle Mexican Grill following days of speculation about a potential merger between the two restaurant chains. The denial comes after the Financial Times reported that Starbucks had been considering a takeover of Chipotle. The speculation was fueled in part by Starbucks CEO Brian Niccol’s previous leadership role at Chipotle. Meanwhile,...
Starbucks denied a possible purchase of Chipotle. We give you all the details about what happened and the reasons to deny the acquisition plans.
·Los Angeles, United States
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Coverage Details
Total News Sources75
Leaning Left10Leaning Right14Center24Last UpdatedBias Distribution50% Center
Bias Distribution
- 50% of the sources are Center
50% Center
L 21%
C 50%
R 29%
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