Retail  

Coca-Cola Not That Into Monster Energy Drinks After All

After Monster Beverage Corp's shares jumped nearly 30 percent this week, Coca-Cola is not so sure it was ever talking about acquiring the energy drink company to begin with
 Coca-Cola Not That Into Monster Energy Drinks After All
 
 

Sometimes a rumor is just a rumor. Other times, a rumor may have a grain of truth to it, yet dissolves anyway due to other factors. Earlier this week, we reported on the rumor that Coca-Cola might be in talks with Monster Beverage Corp (née Hansen Naturals) to acquire the energy drink and all-natural soda business. But just as quickly as it started, Coca-Cola has put the kibosh on it with a swift denial of the rumor.

This week Coca-Cola released the following statement:

 

"Coca-Cola has a distribution relationship with Monster in many markets, including the United States. Therefore, we are always in contact with Monster to maximize the value of our commercial arrangements. At this time, we are not in discussions to acquire the Monster Beverage Corporation. We continue to review the best ways to maximize the value of our relationship."

 

Short, sweet, and to the point of not being that into purchasing Monster Beverage Corp after all. Of course, one does have to wonder if Coca-Cola really was in talks to purchase Monster Beverage Corp last week, before speculation drove Monster’s value through the roof – the day the rumor broke, Monster’s stocks leapt 17 percent and drove the company’s value up to $13 billion. That’s a lot for any company to contend with, even one as monolithic as Coca-Cola. Maybe once all the talk dies down, the soft drink acquisition will happen after all. Or maybe it really was all talk to begin with. That’s the fun of rumors, isn’t it? 



Featured Articles + MORE Featured Articles >>