Green Mountain Coffee extends cash tender offer

Waterbury, Vt. Green Mountain Coffee Roasters said Monday that it is extending the cash tender offer tied to its proposed acquisition of coffee roaster and wholesaler Diedrich Coffee.

About 2.3 million shares had been tendered in the $35 per share offer as of Friday.

The tender offer by Green Mountain subsidiary Pebbles Acquisition Sub Inc. will now be extended 20 business days to March 8. All other terms and conditions of the offer remain the same.

Last month Green Mountain said antitrust authorities requested more information about the proposed deal. It was the second request for information from the U.S. Federal Trade Commission.

Peet's Coffee and Tea had agreed to buy Diedrich before Green Mountain stepped in, but Green Mountain paid Peet's an $8.5 million termination fee.

Green Mountain has been on a buying spree of late, purchasing the Tully's Coffee brand and wholesale coffee business from Tully's Coffee Corp. in March 2009 for $40.3 million. It also bought Toronto specialty coffee company Timothy's in November 2009 for $157 million, including the Timothy's World Coffee brand and wholesale business but not the retail operations.