Cadbury management has agreed to an improved takeover offer worth 840 pence per share, the companies announced in a statement, valuing the British group at about STG11.5 billion ($A20.28 billion).
The friendly takeover marks the end of a prolonged and bitter battle for control of Cadbury. The confectioner had previously knocked back repeated offers by Kraft for the business, with Cadbury’s board chairman Roger Carr claiming in a statement some months ago that the previous bids “did not come remotely close to reflecting the true value of our company,” and regarded it as “derisory.”
Commenting on the now accepted and much improved takeover bid, Carr said: “We believe the offer represents good value for Cadbury shareholders…. we will now work with the Kraft Foods’ management to ensure the continued success and growth of the business for the benefit of our customers, consumers and employees.”