News Published on 4 Dec, 2009
Kraft trigger takeover battle with new Cadbury bid
Filed by Shaun Weston
Reuters reports that Kraft Foods Inc has posted its offer document to Cadbury Plc shareholders, which triggers a 60-day takeover battle for the British confectionery group under UK takeover rules.
The US firm has confirmed to investors that it has sent the document today, confirming the offer of 300p in cash and 0.2589 new Kraft Foods shares for every share in Cadbury.
Irene Rosenfeld, chairman and chief executive of Kraft Foods, said: “We remain confident that the unique combination of Kraft Foods and Cadbury would create a significant growth opportunity for both businesses. That’s why we believe this offer is in the best interest of both companies’ shareholders. Our offer is fully financed, represents a substantial premium to Cadbury’s unaffected share price and provides both immediate value certainty and meaningful longer-term upside potential.”