EUR 110 million investment will increase capsule production by +60%
Press release
Amsterdam, 20 October 2020
JDE Peet's (EURONEXT: JDEP), the world's largest pure-play coffee and tea group by revenue, today announced plans to invest EUR 110 million in its global supply network through the installation of new high-speed aluminium coffee capsule production lines. These additional lines will be installed in stages over the coming 18 months beginning with new lines in Andrézieux, France that will become operational in the course of H1 2021. These investments are the latest in a series of manufacturing capacity expansions designed to meet the increased consumer demand for single serve products. The total EUR 110 million investment will increase JDE Peet's capsule production capacity by +60% to meet the rapidly expanding consumer demand for premium Single Serve coffee experiences.
"The total Single Serve coffee category has seen tremendous growth, a trend that is expected to continue, with aluminium coffee capsules serving as a strong driver," said Fabien Simon, CEO of JDE Peet's. "We were the first to bring aluminium coffee capsules into grocery stores back in 2016, driving general category growth, increasing consumer choice and creating value for our customers. This new strategic investment ensures that JDE Peet's is well positioned within the market as this category continues to expand."
Since pioneering the aluminium coffee capsule market in grocery retail back in 2016, JDE Peet's has quickly gained significant market share in one of the fastest growing premium coffee segments and has successfully applied this technology throughout its brand portfolio in 47 markets. According to Euromonitor, JDE Peet's represents ~13% of the total Single Serve coffee category, which is currently valued at EUR 17 billion and is expected to grow at an annual rate of 7.8% to EUR 23 billion by 2024, fuelled by consumers' increasing preference for premium Single Serve coffee products.
Since the introduction of aluminium coffee capsules in 2016, the Andrézieux factory has become a major employer in the Auvergne-Rhône-Alpes region, growing its workforce by more than 60% (150 jobs). The factory produces more than 400 different types of coffee and recently celebrated the production of its 10 billionth aluminium coffee capsule.
Enquiries
Media
Michael Orr
Investors & Analysts
Robin Jansen
+31 6 1594 4569
Robin.Jansen@JDEcoffee.com
About JDE Peet's
JDE Peet's is the world's largest pure-play coffee and tea group by revenue, serving approximately 130 billion cups of coffee and tea in the financial year ended 31 December 2019 in more than 100 developed and emerging countries. With a portfolio of more than 50 leading global, regional and local coffee and tea brands, JDE Peet's offers an extensive range of high-quality and innovative coffee and tea products and solutions to serve consumer needs across markets, consumer preferences and price levels. In 2019, JDE Peet's generated total sales of EUR 6.9 billion and had on average 21,255 employees worldwide. The JDE Peet's global portfolio includes: Jacobs, Peet's, L'OR, Senseo, Tassimo and Ti Ora. For more information please visit JDE Peet's website.
Attachment
- 201020 JDE Peets to significantly expand its aluminium coffee capsule production capacity (https://ml-eu.globenewswire.com/Resource/Download/290b5379-f744-46a1-83c7-fc96bd88c09e)
