NEW YORK (TheStreet) -- Keurig Green Mountain (GMCR) shares surged 13% higher to $133.01 on Friday after the K-cup provider inked a multiyear licensing deal with Kraft Foods (KRFT) to create pods for its Maxwell, Gevalia, Yuban and McDonald's (MCD) McCafe coffee brands.
The Kraft-branded portion packs -- available this fall -- will come in three options: K-Cup single cup brewers for use in the forthcoming Keurig 2.0 Brewing System; K-Carafe packs, which is optimized to brew four cups of coffee in a specially designed Keurig carafe; and the Keurig Bolt pack, which will brew a half-gallon pot of coffee from a single pack and is targeted to large office and food service locations.
Initially, both Kraft and Keurig will handle manufacturing for single-serving pods, the release said. Eventually, Keurig will become the exclusive manufacturer of Kraft-branded Keurig packs using coffee sourced, roasted, and blended by Kraft. Financial terms of the deal were not disclosed in the press release.
Read More: How DineEquity's CEO Is Transforming IHOP and Applebee's --Written by Laurie Kulikowski in New York. Follow @LKulikowski
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