Starbucks has considered acquiring Chipotle Mexican Grill, according to the Financial Times, in what would be the largest restaurant takeover in history.

Valued at $41 billion, Chipotle has more than 4000 locations globally and around 140,000 employees. Starbucks CEO Brian Niccol was previously Chipotle’s CEO for six years.

Both companies have declined to comment on the talks to the media. A formal offer has not yet been made, the FT reported.

Chipotle investors reacted positively to the news, with the company’s share price rising by more than 6 per cent after the story was published. Starbucks’ share price fell by 5 per cent, before recovering.

Chipotle has maintained consistent post-pandemic growth. Since 2021, the Mexican-themed restaurant chain has grown sales by around 50 per cent to a recorded $11.93 billion in fiscal 2025.

Starbucks, in contrast, is undergoing a period of financial restructuring. CEO Niccol announced a ‘Back to Starbucks’ strategy in fiscal 2025 that is targeting $2 billion in cuts through 2028. The strategy followed a 50 per cent decline in profits between fiscal 2024 and 2025.

The coffee company is releasing its full-year results for fiscal 2026 on Thursday, October 29.