Researchers at the University of Iowa in the US have discovered a new bacteria that is capable of breaking down caffeine and using it as its food.

"We have isolated a new caffeine-degrading bacterium, which breaks caffeine down into carbon dioxide and ammonia," said Ryan Summers, a doctoral student who led the research.
The compounds formed during the caffeine break down can help as building blocks for many drugs which can be used to treat asthma, and heart arrhythmias.
Source-Medindia