Starbucks Denies Chipotle Takeover Reports After Rumors

Starbucks denied it is acquiring Chipotle Mexican Grill after takeover speculation linked the two restaurant companies, with the coffee chain rejecting reports of a possible deal involving the companies. CNBC reported the denial on Monday as investors reacted to the rumors. A Starbucks spokesperson told CNBC's Jim Cramer that the company was not pursuing the acquisition of Chipotle.

The denial followed several days of speculation about a potential transaction between the restaurant chains. "Starbucks is not buying Chipotle," said a Starbucks spokesperson, according to CNBC.

Following the statement, Chipotle shares fell more than 2% in premarket trading Monday, while Starbucks shares rose more than 1%, according to CNBC. The market moves came after days of takeover-related reports.

CNBC reported that the Financial Times said Thursday that Starbucks had been working with advisers on a possible takeover proposal for Chipotle in recent months. The report cited people familiar with the matter. Earlier in October, Semafor reported that Chipotle had hired advisers to defend against activist investors or an unwanted takeover bid. The company was seeking to recover after traffic at its restaurants declined during a difficult 2025.

Chipotle shares were down about 20% over the last year, according to CNBC, making the company a less expensive potential target amid takeover speculation. The rumors also created different reactions among investors of both restaurant companies. CNBC reported that some Chipotle investors were interested in a possible reunion with Brian Niccol, who previously led Chipotle and is now Starbucks CEO. Starbucks shareholders were concerned about a costly distraction as the coffee chain continued its own turnaround efforts.