A Dunkin’ Deal: Pros and Cons
It may be the next target in a hot M&A space.
Do bankers run on Dunkin’?
Photographer: Emile Wamsteker/Bloomberg
As Dunkin’ Brands Group Inc. tries to modernize and expand beyond its deep Boston roots, the coffee-and-doughnut chain is also ripening for takeover bids. But the longer suitors wait, the more expensive it may get.
Shares of Dunkin’, owner of Dunkin’ Donuts, surged to a record this week on takeover speculation following Coca-Cola Co.’s $5.1 billion deal for the U.K.-based Costa Coffee chain. JAB Holding Co. has been scooping up other quick eateries in recent years, including Krispy Kreme Doughnuts, Panera Bread, Caribou Coffee and Pret A Manger, while Burger King and Tim Hortons merged in 2014 to form Restaurant Brands International Inc. The breakfast grab-and-go segment is a hot one for M&A, and Dunkin’ stands out as the next most likely target.