Battle for Cadbury heats up as Nestlé enters the fray

The battle to acquire Cadbury has intensified with Kraft understood to be ready to up its bid following reports of a rival offer from Nestlé.

US food company Kraft is believed to be considering upping its £9.8bn bid or increasing the cash on offer if a rival suitor for the Dairy Milk maker emerges.

The reports come as it emerges that Nestlé is believed to be considering its options, one of which could be a rival bid for Cadbury.

Nestlé has owned another British confectionar, Rowntree, since 1988. 

News of Swiss firm’s interest follows last week’s reports that Hershey and Ferrero are also weighing takeover bids.

However, only Kraft has so far made an offer. It bid 300 pence and 0.2589 new Kraft shares for each Cadbury share at the start of the month. It has now gone “hostile”, approaching shareholders directly, after the Cadbury board rejected its initial September approach.

Cadbury executives said Kraft’s offer was “derisory”, adding it “does not come remotely close to reflecting the true value of our company”.

Comments

    Leave a comment

    Close

    Discover even more as a subscriber

    This article is available for subscribers only.

    Sign up now for your access-all-areas pass.

    If you're an existing paid print subscriber find out how to get access here.

    Subscribers enjoy unlimited access to unrivalled coverage of the biggest issues in marketing, alongside practical advice from the digital experts at Econsultancy.

    With a subscription to Marketing Week Premium you will get full access to:

    > World-renowned columnists

    > Analysis & case studies

    > Exclusive leading-edge insight

    > Carefully curated reports & briefings from Econsultancy

    > Plus, much more including a £300 discount for the Festival of Marketing

    Subscribe now

    Got a question?

    Contact us on +44 (0)20 7292 3703 or email customerservices@marketingweek.com

    If you are looking for our Jobs site, please click here

    Subscribers enjoy unlimited access to unrivalled coverage of the biggest issues in marketing, alongside practical advice from the digital experts at Econsultancy.

    With a subscription to Marketing Week Premium you will get full access to:

    > World-renowned columnists

    > Analysis & case studies

    > Exclusive leading-edge insight

    > Carefully curated reports & briefings from Econsultancy

    > Plus, much more including a £300 discount for the Festival of Marketing

    Subscribe now