Lavazza hikes stake in Green Mountain
A Securities and Exchange Commission filing report reveals that Italian coffee toaster Luigi Lavazza has taken additional stake in Green Mountain Coffee Roasters Inc.(NASDAQ:GMCR) The Italian company now controls 6.8 percent of the U.S. company up from the earlier 4.9 percent. Lavazza, which earlier owned 7.7 million shares now owns 10.5 million.
"Lavazza made the new purchases in order to reaffirm its position as a significant minority stockholder in the issuer and to continue to strengthen the long-term cooperative and strategic relationship between Lavazza and the issuer," said Lavazza in the filing.
Green Mountain, owner of the Keurig single cup coffee brewing system and the K-cups, currently dominates the space. But two of its patents are expiring this month, and a price war is in the offing, with rivals offering Keurig compatible cups at lower prices.
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Green Mountain is trying to ward off this threat by developing new proprietaryy machines like the high end Vue system and also the single cup espresso machine which it is building in collaboration with Lavazza.
Lavazza shares closed 9 percent up at $30.36 on Monday on heavy volumes. Shares have jumped about 25% in the past two trading sessions.
High level management exodus continues at Zynga
After COO John Schappert and chief creative officer Mike Verdu, the chief marketing and chief revenue officer Jeff Karp, is now leaving Zynga Inc(NASDAQ:ZNGA). Schappert and Verdu had quit in August.
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Karp had joined the San Francisco based company behind Farmville and other online games in August 2011. A statement issued by the company said, "We are grateful to Jeff for his contributions over the last year and wish him well in his future endeavors." He will get three months worth of severance pay. The company will also accelerate the vesting of the stock he has received.
The shares of the game making company closed at $2.82, down 2 percent. It has fallen 72 percent below its IPO price of $10.