JDE Peet's stock soars on $18 billion KDP takeover

** Shares in JDE Peet's JDEP jump as much as 17.8% on the agreement that Keurig Dr Pepper KDP will acquire JDE Peets in an all cash offer of $18 billion

** The offer price implies a 20.2% premium to yesterday's closing price, KBC Securities says

** "We believe the acquisition of JDE Peet's by KDP makes sense," KBC notes and expects the closing to occur in the first half of 2026

** ING says the deal is expected to generate $400 million cost synergies and will create the "largest pure-play coffee company" with sales of $16 billion

** Neither broker sees regulatory approval being an issue seeing the fragmented coffee market and JDE Peets' limited U.S. market share

** At 07:43 GMT, shares in JDE Peets are trading up 17.4% to its highest price in almost three years