US food giant Kraft has announced first quarter 2010 revenues up 26 percent to $11.3bn after its acquisition of British food and confectionery company Cadbury.
US food group, Kraft, has recruited the services of financial powerhouses HSBC and BNP Paribas to help divest it of the Polish and Romanian businesses of Cadbury, according to media reports.
Kraft’s reputation in the UK has been badly hit by its behaviour during the acquisition of Cadbury and it should be subject to continuous scrutiny over its subsequent pledges, claim UK politicians who heard evidence from Kraft executives last month.
US food giant Kraft issued a public apology regarding the U-turn on its pledge to keep operational the Cadbury plant near Bristol, and it also promised to ensure no job losses over the next two years as it faced a committee of UK politicians yesterday.
Directors of both US food group Kraft and Cadbury are being called to account at a committee of UK politicians regarding the acquisition of the Dairy Milk maker tomorrow.
Kraft has announced that it will begin to end pension increases for current and non-union hourly employees from year end 2019 but the US food group did not provide any clues in regulatory filings as to the future of the 100-year-old Cadbury pension fund.
The Kraft owned chocolate brand Milka is to be launched across the entire UK market from April, just weeks after the US food giant purchased Dairy Milk maker Cadbury.
Kraft Foods’s reneging on a decision to keep a Cadbury factory near Bristol in the UK open will result in the loss of 400 jobs and has drawn criticism from politicians and unions alike.
Kraft’s takeover of UK chocolate firm Cadbury is now unconditional, as 74 per cent of Cadbury shareholders yesterday accepted the offer of 840p per share plus a 10p dividend.
Reports of my death have been greatly exaggerated, quipped Mark Twain. Predictions of the demise of Cadbury following the approval of Kraft’s offer are premature and are flawed by knee-jerk anti-Americanism.
Kraft is the overall winner in the battle for UK confectioner Cadbury, and it looks like the US food group has netted a bargain in the final price, claim US analysts Bernstein Research.
Cadbury shares rose today on the back of media report that indicated that US chocolate maker, Hershey’s could be set to make a counter-bid for the UK confectioner, already the focus of a hostile bid from Kraft Foods.
US based market analyst firm Bernstein Research claims that there is more value for Cadbury shareholders in the UK confectionery giant remaining a standalone company should a higher bid from Kraft does not materialise.
The difference between British and continental European chocolate preferences means the acquisition of Cadbury by Kraft would not present competition problems, the European Commission has said, as long as Cadbury’s concerns in Poland and Romania were...
Kraft has sold its frozen pizza business to Nestlé to help fund its offer for Cadbury after Nestlé pulled out of the bidding for the British confectioner.
Kraft has dismissed the raised long-term growth targets published by Cadbury on Monday, saying the UK confectioner’s prospects are subject to significant risk and uncertainty.
Cadbury’s updated statement on revenue growth for the next four years should incentivise its shareholders to hold out for a higher offer than the bid from Kraft Foods or remain independent, according to market research firm Sanford C Bernstein.
British and Irish workers at Cadbury have announced a campaign to resist Kraft’s hostile ₤9.8bn ($16.3bn) takeover bid by appealing to shareholders and politicians to block the deal.
Kraft has mismanaged its Cadbury takeover attempt but is still the favorite to get the deal done, according to Andrew Wood, senior research analyst at Sanford Bernstein.
The chocolate sector looks set for further consolidation with the smaller players struggling to offset higher cocoa prices, claims one market analyst as the rumour mill goes into full gear over potential rivals to Kraft for a Cadbury takeover.
Hershey has confirmed that it is “reviewing its options” regarding a possible joint bid with Ferrero for British confectioner Cadbury, following media speculation about talks yesterday.
Even if Kraft intends to increase its bid for Cadbury, its latest offer has probably managed to upset both the board and shareholders, says Andrew Wood, senior research analyst at Sanford C. Bernstein.
Confectionery giant Cadbury is playing up its sustainability initiatives in its seasonal packaging to appeal to consumer demand for a 'green' Christmas.
One of the leading investors in Cadbury has revealed he would consider a bid from Kraft if it were in the region of 820p per share, according to recent media reports.
Kraft may look to sell its brand Maxwell House to generate a higher offer to Cadbury, the world's second largest confectionery group, claim media reports.
Cadbury CEO Todd Stitzer told a fair trade conference in London on Thursday that taking away its “principled capitalism” would destroy Cadbury’s appeal, according to the UK’s Guardian newspaper.
Cadbury has given a confident presentation of its stand-alone strategy in the midst of speculation that the company is unlikely to hold onto its independence following Kraft’s failed take-over bid.
Kraft Foods has defended its valuation of the Cadbury business and insisted that it remains the most logical buyer for the UK confectionery manufacturer.
Kraft Foods has confirmed it has had an initial takeover bid for Cadbury rejected but said it intends to work towards a deal that would create a $50bn food industry powerhouse.
Chewing gum used to be the hot performer for Cadbury but sales have dropped well below chocolate. Bernstein Research now expects the downward trend to be reversed.
Cadbury is conducting a voluntary recall in Australia for one of its products in the Old Gold Dark Chocolate range due to the possible presence of milk protein, which is not labelled on the packaging.
UK-based Cadbury is hoping to extend its presence in India with the confectioner reportedly set to use the country as a major regional production centre for its cocoa supplies.
Cadbury says it has reached an agreement with some of its workforce to close a Barcelona-based gum factory as part of an operational shake up of its operations.
An alleged price-fixing case in the US against chocolate giants that include Hershey, Mars, Cadbury and Nestle will be put on hold after a federal judge allows the manufacturers to appeal his decision not to dismiss over 80 anti-trust suits.
