" US giant Kraft Foods said Monday it had offered 10.2 billion pounds (16.7 billion US dollars) for Cadbury, adding that the British chocolate maker had rejected the offer but that it was still on the table.
"Kraft Foods Inc. today announces that it has made a proposal to the Board of Cadbury plc to combine the two companies. The Board of Cadbury has rejected this proposal," said a statement issued by Kraft to the London Stock Exchange.
The offer "values the entire issued share capital of Cadbury at 10.2 billion pounds," it added. " - BBC
This is cadbury's offical response from,
http://www.cadbury.com/media/press/Pages/cadburystatementkraftfoods.aspx"In response to the announcement by Kraft Foods Inc. (“Kraft Foods”), Cadbury plc (“Cadbury” or the “Group”) confirms that it recently received an unsolicited proposal from Kraft Foods regarding a possible share and cash offer for the Group which is conditional on, inter alia, financing and due diligence. The Board of Cadbury reviewed the proposal with its advisers and rejected it.
The Board is confident in Cadbury’s standalone strategy and growth prospects as a result of its strong brands, unique category and geographic scope and the continued successful delivery of its Vision into Action plan. The Board believes that the proposal fundamentally undervalues the Group and its prospects.
Note 7 of Rule 2.4 of the Code requires the Group to point out that this statement is being made by the Group without the prior agreement of Kraft Foods and that there can be no certainty whether any offer will be made."
Looks like kraft underestimated one of the worlds largest confectionary businesses.
Subject: Kraft loses out. 
Mon Sep 07, 2009 8:42 am
