Israel Matzav

'As long as the Muslims hate us anyway'....

What if a company that was already a target of BDS decided to buy into another company that's already a target of BDS? Wouldn't that be neat? It might yet happen. Starbucks is in advanced talks to buy a significant stake in SodaStream.

Sources inform ''Globes'' that Starbucks Corporation (Nasdaq: SBUX) is in advanced talks to acquire 10% of SodaStream International Ltd. (Nasdaq: SODA) at a company value of $1.1 billion. SodaStream has a market cap of $850 million; Starbucks' offer reflects a 30% premium on the market price. Sources close to the deal say that an official announcement will be made soon.

The move comes 11 years after the failure of Starbucks' Israeli franchisee Delek Group Ltd. (TASE: DLEKG) to operate the US cafe chain in Israel.

Market sources have previously believed that SodaStream was seeking a partner, like the partnership between Coca-Cola Company (NYSE: KO) and coffee machine maker Green Mountain Coffee Roasters Inc. (Nasdaq: GMCR). The two companies plan to launch a home soda maker machine, which could make carbonated beverages from Coca-Cola syrups, next year. This would increase the competitive pressures on SodaStream, compelling it to seek a strategic partner of its own. 

...

Despite SodaStream's clear advantages, its machines are found in only 1% of American homes, compared with 25% of homes in many European countries, such as Sweden. Collaboration with Starbucks would give SodaStream a distribution platform and marketing incentives, such as sales campaigns and special flavors for Starbucks customers. 

 I hope this deal goes through. I really hope this deal goes through.

Labels: SodaStream

posted by Carl in Jerusalem @ 11:34 AM