(Reuters) - JAB Holding Co, the majority owner of Keurig Dr Pepper Inc, plans to sell a small stake in the coffee and beverage company to increase its public float, the company said.
Family-owned JAB Holding combined its Keurig coffee business and the publicly-traded soft drinks company to create Keurig Dr Pepper last year, which helped the conglomerate expand into the soft-drinks business.
Shares of Keurig Dr Pepper fell 1.5% to $29.12 in early trading.
Keurig Dr Pepper’s public float will increase to about 20% from 15% following the stake sale by JAB unit Acorn Holdings, which owns about 72% of the company, according to Refinitiv data.
Acorn, which owns about 1 billion shares of Keurig Dr Pepper, has already agreed to sell about 47 million shares through registered direct sales, the maker of Snapple juices said.
Acorn will not sell any additional shares in the near future, the beverage maker said.
JAB owns several coffee and restaurant chains including Peet’s Coffee and JDE coffee brands.
Reporting by Nivedita Balu in Bengaluru; Editing by Saumyadeb Chakrabarty