Starbucks, the major US coffee chain, formally denied that it plans to acquire Mexican restaurant chain Chipotle. Following the announcement, Starbucks shares rose slightly in premarket trading, while Chipotle shares fell.
A Starbucks spokesperson said on the 12th that the company has no plans to acquire Chipotle Mexican Grill. This article reports the denial.
In premarket trading, Starbucks shares were said to have risen about 1%, while Chipotle shares fell about 2%. There had been speculation that the acquisition would have created a major restaurant company, but that possibility was ruled out by the denial.
It was also reported that the Financial Times, a British newspaper, said last week that Starbucks had been discussing the possibility of a takeover proposal with advisers in recent months.