{"id":167972,"date":"2010-01-11T13:54:00","date_gmt":"2010-01-11T18:54:00","guid":{"rendered":"tag:blogger.com,1999:blog-3087194156628161158.post-4072937401957879250"},"modified":"2010-01-11T14:00:04","modified_gmt":"2010-01-11T19:00:04","slug":"sky-news-ferrero-looks-to-spoil-krafts-cadbury-bid","status":"publish","type":"post","link":"https:\/\/mereja.media\/index\/167972","title":{"rendered":"SKY NEWS: Ferrero Looks To Spoil Kraft’s Cadbury Bid"},"content":{"rendered":"

\"\"<\/a>2:16pm UK, Monday January 11, 2010<\/p>\n

\"Fishpond\"<\/a>
<\/span>SPONSOR<\/span> <\/p>\n

Dharshini David, Business correspondent <\/p>\n

As Cadbury prepares its final defence against a hostile bid from America’s Kraft, Italian manufacturer Ferrero appears to have secured a loan that would allow it make an offer for the 200-year old confectioner – with or without Hershey. <\/span><\/h2>\n

Over the weekend, Cadbury’s chairman, Roger Carr, accused Kraft of merely being a puppet of key shareholder Warren Buffett, who’s warned Kraft against paying too much for Cadbury. <\/p>\n

Tomorrow Cadbury will set out its final argument against Kraft – basically a call to shareholders not to allow it to fall into the hands of the makers of Philadelphia cheese.<\/p>\n

It will update figures for last year and claim that Kraft undervalues its prospects for growth. Kraft itself, by contrast, it will say is a low -growth prospect; the very reason it wants to get its hands on Dairy Milk and Cadbury’s other coveted brands<\/p>\n

Shareholders ultimately will decide whether Cadbury succumbs to Kraft. But the battle has to be played out to a timetable is dictated by Takeover Panel rules:<\/p>\n

January 12 <\/b>The last day Cadbury can mount a defence, and publish key financial details.<\/p>\n

January 15 <\/b>Cadbury won a three-day extension which means it can publishes more financial details after markets close ( but it failed to win an extension for its defence documents)<\/p>\n

January 19 <\/b>The last day Kraft can raise its offer – unless other bidders move in<\/p>\n

January 23 <\/b>Deadline other who have already expressed interest in Cadbury such as Hershey and Italy’s Ferrero, to submit a fully financed bid. If not, they have to wait another six months to mount a bid.<\/p>\n

February <\/b>Deadline for votes from Cadbury shareholders if Kraft is going to exceed the 50% it needs to win. If Kraft fails, it has to wait 12 months before bidding again for Cadbury. Also the deadline for a new bidder to throw their hat into the ring.<\/p>\n

Cadbury may feel that with Tuesday’s document, they have persuaded shareholders that they need to see a bid far in excess of 800p per share and so convince them to turn their back on Kraft (which is offering 769p).<\/p>\n

But the next couple of weeks could mean an eventful ride for the company – with plenty of scope for others to enter the fray.<\/p>\n

If it is not someone who’s already expressed an interest – like Hershey and Ferrero – then the timetable starts again.<\/p>\n

When the music finally stops, Cadbury could yet find itself in different hands.<\/p>\n


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