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The investor that's buying Krispy Kreme is building a coffee and bagel empire

May 9, 2016, 19:39 IST

Packets of Douwe Egberts coffee are seen at a supermarket in AmsterdamREUTERS/United Photos

The investor group that runs the biggest pure-play coffee company in the world decided to add some sweetness to its menu.

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JAB Holdings and its partners are spending about $1.35 billion to buy Krispy Kreme Doughnuts, according to a press release today. The deal is expected to close in the third quarter.

"This transaction puts us in the best possible position to continue to spread that joy to a growing number of people around the world while delivering significant value to Krispy Kreme shareholders," Krispy Kreme chairman Jim Morgan said in a statement.

JAB, the investment arm of the secretive Reimann family, previously spent $13.9 billion buying home-brewing coffee company Keurig Green Mountain in late 2015. JAB has been busily scooping up companies in the consumer and food sectors in the past few years.

The family members behind JAB are Renate Reimann-Haas, Wolfgang Reimann, Stefan Reimann-Andersen, and Matthias Reimann-Andersen. They owe their wealth to Benckiser, which is now Reckitt Benckiser, a consumer products company which owns everything from Durex to Gaviscon

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They are all descendants of Ludwig Reimann, a chemist who joined Benckiser shortly after it was founded by Johann Adam Benckiser in 1823. Reimann married one of Benckiser's daughters, and ended up owning the company after his death.

JAB continues to own a stake in Reckitt Benckiser. It also has a luxury arm which houses investments in Jimmy Choo, Belstaff and Bally, and owns perfume maker Coty.

Business Insider breaks down JAB Holdings' massive portfolio:

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