Coca-Cola Company has agreed to buy coffee chain Costa for $5.1 billion including debt.
This is to extend its push into healthier drinks and take on the likes of Starbucks and Nestle.
Buying Costa’s 4,000 outlets takes Coca Cola into a bright spots in food and drink sectors.
The company did pay about $1.3 billion more than some analysts had expected, reports Reuters.
Coke will use its distribution network to supercharge Costa’s expansion.
Coca Cola is chasing after Starbucks and its almost 29,000 stores across 77 markets.