By Daniela Sirtori | Updated on Oct 12, 2026 at 02:47 PM
Starbucks Corp. said it’s not buying Chipotle Mexican Grill Inc, seeking to tamp down speculation about what could have been one of the restaurant sector’s largest-ever deals.
The company issued a statement on Monday following a report last week that Starbucks, run by former Chipotle Chief Executive Officer Brian Niccol, had worked on a takeover proposal.
At the time, the coffee chain said it was “laser focused” on executing its ongoing turnaround plan, which has revived sales growth after a lengthy slump.
Chipotle shares fell 3.1% as of 9:42 a.m. in New York trading on Monday while Starbucks shares were little changed. The burrito chain’s stock had jumped following last week’s report.
Analysts had expressed skepticism about a potential deal, given how different the two businesses are.
At Chipotle, Niccol also spearheaded a revitalization that turned the company into one of restaurant industry’s top performers for several years.
The company has recently struggled with sales declines, which it has started to reverse with more frequent product launches and updates to its loyalty program.