Starbucks on Monday denied that it is considering acquiring Chipotle Mexican Grill, a potential deal that if reached would become the largest acquisition in the history of the restaurant industry.

A Starbucks (NASDAQ: SBUX) spokesperson said: "Starbucks will not acquire Chipotle."

The statement came after several days of market rumors that the two restaurant companies might reach a massive deal.

On Thursday, reports said that Starbucks (NASDAQ: SBUX) had been working with advisors in recent months to study an acquisition plan for Chipotle.

Earlier in October, reports said that Chipotle had hired advisors to guard against activist investors or unwanted takeover bids.

The fast-casual restaurant chain is trying to recover from a difficult 2025, a year in which its restaurant traffic declined.

Over the past year, Chipotle's share price has fallen by about 20% cumulatively, making it a relatively inexpensive acquisition target.

Acquisition rumors drove Chipotle's share price higher, while Starbucks (NASDAQ: SBUX) shares fell after the related reports were published.

Chipotle investors had originally hoped to reunite with Brian Niccol. Niccol previously served as Chipotle's chief executive and is currently Starbucks (NASDAQ: SBUX)' chief executive.

However, Starbucks (NASDAQ: SBUX) shareholders are broadly worried that, at a time when the coffee chain giant is still in the midst of its own business transformation, a costly acquisition could distract the company.