JAB Beech, the company that owns Caribou Coffee, will acquire Krispy Kreme, JAB Beech officials announced Monday.
The Luxembourg-based investment firm, which also owns Keurig and shares in Einstein Bros. Bagels and high-end shoe retailer Jimmy Choo, purchased the doughnut company in a deal worth an estimated $1.35 billion.
A senior partner at JAB said that the acquisition is part of the company's strategy to invest in brands with "significant growth prospects," the Associated Press reported.
Krispy Kreme's stock rose $4.06, more than 24 percent, to $20.92 on Monday afternoon. JAB will pay for each share of Krispy Kreme Doughnuts Inc., with a plan to close the deal in the third quarter this year.
According to JAB Holdings, Krispy Kreme will continue to be independently operated from its headquarters in Winston-Salem, North Carolina. The company said it will postpone its annual shareholders meeting, which was originally set for June 14.
Krispy Kreme, which was founded in 1937, has more than 1,100 locations internationally. About 300 of those are located in the United States, and other stores are located in countries including Australia, Canada, Japan, Mexico, South Africa and the United Kingdom.
Krispy Kreme said in March that it planned to open at least 120 new international locations and about 30 new shops domestically.
The Associated Press contributed to this report.