Keurig Dr Pepper Stock Plummets Over 11% - Here’s What Triggered the Crash

Another day, another traditional stock getting hammered while digital assets continue outperforming legacy markets.

Keurig Dr Pepper shares nosedived more than 11% in today's session - a brutal reminder that even 'stable' consumer staples aren't immune to market volatility.

The bloodbath came without warning, catching Wall Street analysts flat-footed as the beverage giant joined the growing list of traditional equities getting crushed in today's economic climate.

Meanwhile, cryptocurrency markets continue demonstrating their resilience, with major digital assets holding steady while traditional stocks flounder - proving once again that decentralized finance doesn't sleep because some CEO missed earnings projections.

Another reminder that in today's market, the only thing more predictable than traditional stocks disappointing investors is Wall Street's shocked reaction when they do.

Brewing up a new coffee giant

That morning, KDP announced it had entered into a definitive agreement to buy Netherlands-listed coffee company. Stockholders of the latter, perhaps best known to Americans as the company behind Peet's cafes, will received 31.85 euros ($37.33) per share in the deal, which works out to a total price tag of 15.7 billion euros ($18.4 billion).

Image source: Getty Images.

That per-share figure represents a 33% premium to the shares' 90-day, volume-weighted average price, the acquirer said.

After the close of the transaction, KDP added, the company will divide into two businesses. One will be centered on its soft drinks, and the other will be what management claims is to be "the world's No. 1 pure-play coffee company." It has not provided the future name for either.

In the press release trumpeting the deal, KDP quoted its CEO Tim Cofer as saying that "This is the right time for this transaction, with KDP in a position of operational and financial strength, momentum across our evolved portfolio, and increasing coffee category resilience."

The company said it expects the acquisition to close in the first half of 2026. The separation of the current KDP into two entities is to occur "as soon as practicable" after this, the company said.

That's one big loan

To finance the acquisition, KDP said it entered into a definitive bridge loan agreement with affiliates of investment bankand Mitsubishi UFJ Financial Group. The company did not provide details of this financing but did say it WOULD cover 100% of the purchase.