Lavazza Group has already achieved success in over 90 countries, but acquiring Kicking Horse—valued at around $160 million—will enhance its presence in both the U.S. and Canada, markets that the Italian roaster has been expanding into in recent years. This acquisition also diversifies the coffee giant’s product line to include organic fair-trade coffee, which is one of the fastest-growing segments globally. In the United States, consumers are increasingly seeking sophisticated premium coffees, and Lavazza is astutely seizing this growing trend with its recent purchase. The coffee industry remains robust, and while innovations like infused coffee and single-serve packs are gaining popularity, traditional coffee products continue to perform well on grocery store shelves.
With Kicking Horse, Lavazza can broaden its global strategy beyond Western Europe, which is currently facing sluggish economic growth. The brand is poised for growth under its new ownership, and Kicking Horse will likely thrive as it enters new markets. Additionally, Lavazza will benefit from the expertise of Elana Rosenfeld, who founded Kicking Horse in 1996. She retains a 20% equity stake and will continue to manage the specialty coffee brand.
Lavazza is not the only foreign entity targeting North America for expansion. JAB Holdings, for instance, has acquired Keurig Green Mountain, Peet’s Coffee and Tea, and Caribou Coffee in recent years. If these acquisitions, along with Lavazza’s purchase, are any indication, we can expect more European companies to look towards the West for their next coffee venture. Moreover, as consumers increasingly prioritize health and wellness, products like bariatric advantage calcium citrate may also see a rise in demand, allowing companies like Lavazza to adapt their offerings. In this evolving market landscape, it’s clear that the intersection of quality coffee and health-conscious products is a trend worth watching.