Kraft Buys Cadbury
The path is clear for Kraft to take over Cadbury, as most of the shareholders of the latter have accepted the offer.
For nearly 200 years now man has known Cadbury as a company of its own being, a company well-known worldwide mostly for its chocolates, a brand popular to every child and adult alike. But that equation is going to change very soon. Shareholders of Cadbury have finally accepted the takeover bid by Kraft. 50% of the shareholders needed to approve the takeover, and 72% have given their approval. Kraft will also delist Cadbury's shares once the percentage of shareholders who accept the offer reaches 75. The takeover offer is worth $18.7 bn.
Cadbury is a British company, which let go of its United States beverages arm in the year 2008. This left Cadbury as just a confectionery company. It was then that Kraft decided to make a bid for the company. Cadbury's board put forth an offer of 850p a share, and most shareholders are of the opinion that Roger Carr, Cadbury's chairman, did an excellent job in taking care of their interests.
Now there is concern about the safeguard of the jobs of Cadbury's employees. About a hundred workers from Cadbury's Bournville plant in Birmingham went to London to gather support from MPs for job guarantee, and also importantly to give workers a say in foreign takeovers of British companies. Deputy General Secretary of the Unite Union, Jack Dromey was quoted as saying, "This must never happen again, the law must change to prevent hostile takeovers of successful British companies." Irene Rosenfeld is Kraft's chief executive.
Until now, Kraft has not made any guarantees about the jobs at Cadbury.
Cadbury is a British company, which let go of its United States beverages arm in the year 2008. This left Cadbury as just a confectionery company. It was then that Kraft decided to make a bid for the company. Cadbury's board put forth an offer of 850p a share, and most shareholders are of the opinion that Roger Carr, Cadbury's chairman, did an excellent job in taking care of their interests.
Now there is concern about the safeguard of the jobs of Cadbury's employees. About a hundred workers from Cadbury's Bournville plant in Birmingham went to London to gather support from MPs for job guarantee, and also importantly to give workers a say in foreign takeovers of British companies. Deputy General Secretary of the Unite Union, Jack Dromey was quoted as saying, "This must never happen again, the law must change to prevent hostile takeovers of successful British companies." Irene Rosenfeld is Kraft's chief executive.
Until now, Kraft has not made any guarantees about the jobs at Cadbury.
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