Krispy Kreme Buys Majority Stake in Insomnia Cookies
Krispy Kreme announced that the company will be acquiring a majority stake in Insomnia Cookies in a deal that is set to be completed during the fourth quarter of the year.
The donut maker is making the move in a bid to help it expand the type of baked goods that it offers with one of the most popular cookie makers out there. Krispy Kreme is owned by JAB, which bought the company back in 2016 for $1.35 billion and it also owns the likes of Peet’s Coffee & Tea and Panera Bread.
The terms of the transaction will not be disclosed until the deal is complete in the company’s fourth quarter but Insomnia Cookies will continue operating as an independent cookie maker even after Krispy Kreme completes the acquisition. Sources close to the matter had previously said that the deal valued Insomnia Cookies at less than $500 million.
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The cookie maker was first created back in 2003 by University of Pennsylvania student Seth Berkowitz and the company gained notoriety for staying open and allowing consumers to get cookies delivered to them until 3:00 a.m. Most of the Insomnia Cookies locations around the U.S. are located near college campuses and it has more than 135 locations where it offers cookies, as well as brownies and cold milk.
The move will help Krispy Kreme gain a firmer footprint in the college campus environment.
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