Keurig Dr Pepper agreed to acquire Amsterdam-based JDE Peet’s in an all-cash transaction valued at €15.7 billion ($18.4 billion), the companies said on Monday. The U.S. beverage group will pay €31.85 a share, representing a roughly 20% premium to JDE Peet’s last close, in one of Europe’s largest takeovers in more than two years. Once the purchase closes—targeted for the first half of 2026—Keurig Dr Pepper plans to separate the enlarged business into two U.S.-listed companies. A new Global Coffee Co. will house brands such as Keurig, Peet’s, Jacobs and L’OR and generate about $16 billion in annual sales, while Beverage Co. will focus on North American soft-drink staples including Dr Pepper, Canada Dry and 7UP with sales exceeding $11 billion. Chief Executive Officer Tim Cofer will lead Beverage Co. from Frisco, Texas, and Chief Financial Officer Sudhanshu Priyadarshi will run Global Coffee Co. from Burlington, Massachusetts, with an international base in Amsterdam. The break-up partially unwinds the 2018 merger that created Keurig Dr Pepper and is expected to yield $400 million in cost savings within three years. Majority owner JAB Holding, which currently holds 4.4% of KDP and about 68% of JDE Peet’s, said it will retain stakes of nearly 5% in each of the resulting entities. Investors welcomed the premium offer: JDE Peet’s shares jumped 18% in Amsterdam trading, while Keurig Dr Pepper slipped roughly 4% in early U.S. dealings.