SodaStream shares spike on report of Starbucks talks

Wed Apr 23, 2014 12:12pm EDT

An employee sorts carbonator bottles while working at the SodaStream factory in the West Bank Jewish settlement of Maale Adumim January 28, 2014. REUTERS/Ammar Awad

An employee sorts carbonator bottles while working at the SodaStream factory in the West Bank Jewish settlement of Maale Adumim January 28, 2014.

Credit: Reuters/Ammar Awad

(Reuters) - Shares in SodaStream International Ltd (SODA.O) rose as much as 17 percent on Wednesday after the Israeli business newspaper Globes said Starbucks Corp (SBUX.O) was in advanced talks to buy 10 percent of the home soft drink maker, citing sources.

Representatives for both SodaStream and Starbucks declined to comment.

In February, Coca Cola Co (KO.N) took a $1.3 billion stake in Keurig Green Mountain Inc GMRC.O, maker of the popular Keurig one-cup coffee brewer, with plans to jointly launch a home soda maker machine, prompting speculation SodaStream would pursue its own partnership with a company.

Last week, Israeli financial news daily Calcalist reported that SodaStream was in early talks to sell 16 percent of the company to a potential investor, including PepsiCo Inc (PEP.N), Dr Pepper Snapple Group (DPS.N) or Starbucks.

SodaStream shares were up 13 percent at $45.68 in midday trading, while Starbucks shares fell 0.7 percent to $70.64.

(Reporting by Phil Wahba in New York and Lisa Baertlein in Los Angeles; Editing by Jonathan Oatis)

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