KO Stock Watch! Coca-Cola Makes Final Push to Rescue Costa Coffee Sale

Coca-Cola (KO) is making its final push to keep its planned sale of Costa Coffee alive, as pressure mounts to finalize the deal. The beverage giant reportedly held last-minute talks with private equity firm TDR Capital in an effort to save the deal amid mounting pressure. With the clock ticking, the outcome could have important implications for Coca-Cola's portfolio strategy and investor sentiment around KO stock.Claim 50% Off TipRanks Premium and Invest with Confidence Unlock hedge-fund level data and powerful investing tools designed to help you make smarter, sharper decisions Stay ahead of the market with the latest news and analysis so your portfolio is always positioned for maximum potential To recap the situation, Coca-Cola acquired Costa Coffee in 2018 from Whitbread (GB:WTB) to strengthen its position in the global coffee market. However, the brand has struggled amid stiff competition and rising costs. The company reportedly put Costa up for sale in the middle of this year. Deal or No Deal? According to the Financial Times, Coca-Cola is in last-minute discussions with TDR Capital in a final effort to save the Costa Coffee deal. Earlier this week, during a meeting in New York, Coca-Cola named TDR Capital as its preferred bidder for Costa. For context, TDR is a British private equity firm and owns brands like the UK's Asda supermarket chain. However, people close to the discussions said pricing has become a major hurdle. One source added that TDR is mainly interested in Costa's UK and international operations, excluding its China business. Sources also said Coca-Cola is considering keeping a minority stake in Costa and may adjust the terms of that stake to make the deal more attractive to the buyer. Earlier, private equity firm KKR (KKR) had shown interest in the business but later pulled out of the deal. Looking ahead, Coca-Cola is expected to decide whether to seal the deal or walk away by this week. Is KO a Good Stock to Buy? Wall Street remains bullish on Coca-Cola, even as questions linger around the Costa Coffee sale. Analysts currently rate the stock a Strong Buy, with 14 of 15 analysts calling it a Buy. The average 12-month KO price target sits at $79.38, implying roughly 12.56% upside from current levels. Year-to-date, KO stock is up by over 70%.