Dutch beverage company Jacobs Douwe Egberts (JDE) is set to combine with Peet’s Coffee, exploring an initial public offering (IPO).

The combination of the two companies is expected to create company JDE Peet’s that will focus on the FMCG coffee business.

Peet’s Coffee CEO Casey Keller will become JDE Peet’s CEO effective January, as part of preparing for the IPO.

JDE and Peet’s Coffee chairman Olivier Goudet said: “We are excited that Casey will assume the role as CEO of JDE Peet’s as we continue further building upon the company’s strong track record of growth and expansion.

“We are proud of what we have accomplished at JDE and Peet’s but believe with our IPO the best years of growth and shareholder value creation are ahead of us with our newly combined company.”

With global brands such as Peet’s Coffee, L’OR, Jacobs Coffee, Douwe Egberts, Senseo, Tassimo, Moccona, Kenco, Pickwick and Pilão, JDE Peet’s will have a presence in more than 140 countries worldwide.

JDE Peet’s brand portfolio will offer a wide range of coffees including traditional roast and ground coffees, soluble coffee, on-demand systems, with proprietary platforms such as Senseo and Tassimo.

It will also offer products compatible with other popular coffee systems, with an expectation to generate nearly €7bn in revenue.

Keller said: “JDE Peet’s is an exceptional business with some of the most beloved coffee brands in the world, and I am excited to lead the company in its next phase of growth.

“With our leading positions in many important markets, supported by all the great people in our organisation, we are well-positioned to continue achieving strong long-term growth.”