FT learned about the preparation of Starbucks for a “megadeal”

Starbucks is considering taking over Chipotle Mexican Grill, which has a market value of about $41 billion. The potential “megadeal” could become the largest in the history of the restaurant business, writes the Financial Times (FT), citing sources familiar with the situation.

In recent months, Starbucks has been working with consultants on a proposal to buy Chipotle. It is not known whether the company has submitted a formal application to acquire the network. FT officials warned that combining the two big companies could prove too complicated, so a deal could never happen.

In the event of the Chipotle takeover, Starbucks will break the record for the largest deal in the restaurant industry. Now it remains the purchase of Canadian coffee and donut chain Tim Hortons by Burger King for $ 11.4 billion in 2014.

After the publication of the FT, Chipotle shares rose 5.7%, while Starbucks shares fell by 3.6%. The market capitalization of the coffee chain was $103 billion.

The combination of companies would create a restaurant group with annual revenue of almost $50 billion, the newspaper notes. Starbucks operates approximately 41,000 of its own and franchised establishments worldwide, about 40% of which are located in the United States. Chipotle has about 4,200 restaurants, almost all in the US market.

A possible deal would also reconnect Starbucks chief Brian Niccol with Chipotle, which he led for more than six years. In August 2024, Niccol moved to Starbucks, where he began to restore the business after falling sales. Since his departure, Chipotle shares have lost nearly half their value.

In September, Starbucks announced plans to close 250 unprofitable coffee shops in North America as part of a business recovery program. In July, the company raised its sales and profit forecast for fiscal year 2026 for the second time. Starbucks reported comparable sales growth for the fourth consecutive quarter.