Monster Has More Cash Than It Knows What to Do With: Chartby
Monster Beverage Corp. hasn’t figured out how to spend its cash hoard.
The energy-drink maker’s partnership with Coca-Cola Co. last June brought a flood of money into its coffers, more than doubling its usual stash to $2.8 billion. That’s created an enviable problem for the company, which has no debt and no immediate need for the capital, Bloomberg Intelligence analyst Kenneth Shea said.
Monster Chief Executive Officer Rodney Sacks said this week that the company will return cash to shareholders when it determines the best way to do so. A decision on that is likely to come in February.
“They probably have a billion and a half dollars that they don’t need,” Shea said.