Some breaking acquisition news coming out of Bellevue, Washington as home grinder juggernaut Baratza announced late yesterday, October 1st, they will be joining the Breville Group.
Breville, the 90-year-old Australian-based global kitchen wares brand, has in the past decade or so made a concerted push into the home coffee equipment sector— most notably with their line of home espresso machines, including one of the few dual boiler machines under the $2,000 price point. With the acquisition of Baratza, Breville solidifies their position as one of the leaders in home coffee equipment.
The sale to Breville was announced via blog post on Baratza’s website penned by co-founder and CEO Kyra Kennedy. It reads:
Kyle Anderson and I co-founded Baratza 21 years ago. It’s been an amazing adventure to build the company to its current position in the global specialty coffee market. Over two decades later, the time has now come to look at where we are and determine the next steps for us and for Baratza. As we contemplated what the future would look like, it was important for us that any decision made would take care of our employees, consumers, distributors, manufacturer, and suppliers.
After a period of deliberation, consultation, and planning, we are thrilled to announce that today we have become part of Breville Group.
In Breville Group, we are confident we have found a partner with shared values for customer care and a passion for product innovation and enhancing the specialty coffee experience. We look forward to combining our strengths in design and customer support, while continuing to maintain our uncompromising focus on quality and customer care, to create a dynamic new vision for our business.
While we are now part of a larger group, we are the same team and brand. Staying true to who we are, while growing in a global marketplace, will enable us to continue to shape our future and place as one of the most admired and trusted brands in specialty coffee.
On behalf of Team Baratza we want to take this opportunity to thank everyone for their support over the last 21 years. We look forward to sharing this next phase of our journey with you and taking this incredible company to new, and more exciting heights, together.
Per the Finance News Network, the total sale price for Baratza totaled around $60 million, $43 million to be paid in cash with the remaining $17 million “[issued in] additional shares of the company.” According to Baratza Marketing Manager Joyce Klassen, it will be “business as usual,” noting that Kennedy, Anderson, and the entire Baratza team will remain intact and in their current locations. “So we will be delivering the same great customer support and service as always,” Klassen tells Sprudge.
Zac Cadwalader is the managing editor at Sprudge Media Network and a staff writer based in Dallas. Read more Zac Cadwalader on Sprudge.
Disclosure: Baratza is an advertising partner with the Sprudge Media Network