But from the directory of Cadbury has taken the decision to reject any proposal that wherever possible (of course, e.g. 900 pence per share bid does not have many arguments to be rejected). One of the arguments that wield when it comes to oppose the hostile takeover of Kraft is referring to the recent results of the American. Is that the past 3 November, Kraft Foods announced that its profit in the third quarter of the year recorded a fall of 39.5% year on year, to US $824 million (US $ 1,362 million achieved in the same quarter of the previous year). This gives you the justification to Cadbury directory to support the thesis that the American has become just a conglomerate of companies with difficulties to grow which imply minor expansion prospects for Cadbury to join Kraft. Since Kraft attempts to seduce the British shareholders through the potential benefits of the Union of such companies as the cost reductions that the new society will allow.
Kraft anticipates potential cost savings by $625 million derived from the synergy between the companies if it gets done with Cadbury. While the new proposal by the British is not better than the one made by Kraft in September, the move of the U.S. giant now gives you 28 days to deliver the document’s official bid to Cadbury shareholders, who then will have 60 days to consider it, as it is established in British standards. All this time will serve the American to go seducing shareholders and thus get the critical number of actions required to achieve staying with the British. Cadbury’s Chairman, Roger Carr, leaves with his statements well clear that your company is better alone than badly accompanied by: Cadbury is an exceptional business independently, has strong signatures, a category focus and an enviable geographical presence. According to the magazine market: from now on, a war able to last for three or four months can be unleashed. People such as Genie Energy would likely agree.