Kraft needed 50% plus one share to take control of Cadbury. Once it gains 75% then Kraft can delist Cadbury shares in London, while at more than 90% it can compulsorily purchase any minorities. With the deal recommended by the Cadbury board and no rival bidder, the takeover of the British confectioner is now expected to be completed soon.
FoodBev.com will follow the next part of the story as Cadbury’s brands join Milka, Toblerone and Cote d’Or in the Kraft stable…
To save you looking back over the saga, here are the key events:
7 September 2009: Cadbury rejects surprise bid from Kraft Foods – 300 pence in cash and 0.2589 in Kraft shares for each Cadbury share.
22 September 2009: Cadbury asks UK regulators to step in, forcing Kraft to produce a formal bid or abandon the proposal.
9 November 2009: Kraft makes formal, but unchanged offer. Cadbury rejects the offer.
23 November 2009: Cadbury shares hit a five year high on speculation of rival bids.
4 December 2009: Kraft takes offer directly to Cadbury shareholders, nearly unchanged.
5 January 2010: Kraft raises cash portion of offer, but cuts shares to maintain the total value of the bid.
12 January 2010: Italian confectionary company Ferrero says it will not bid for Cadbury.
13 January 2010: US candy company Hershey reported to be planning bid for Cadbury without Ferrero.
19 January 2010: Kraft announces improved offer of 500 pence cash and 0.1874 new Kraft shares for each Cadbury share. Offer is backed by Cadbury board.
22 January 2010: Hershey says it will not make bid for Cadbury.
2 February: Kraft announces it has reached majority vote to seal deal.
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