Kraft offered a takeover deal with £7.55 per share for Cadbury , Board of Cadbury rejected the deal
Kraft's went to public, offered a price for Cadbury £3 cash+ 0.2589 new Kraft shares per share (£7.45 per share, 31% over its current price £5.68), Cadbury says the offer "fundamentally undervalues" the company.
Cadbury's chairman sent a letter to Kraft said Cadbury cannot be undervalued just because Cadbury running a low growth business.
Cadbury insist Kraft offer too low and ask UK takeover Panel make rules on Kraft's takeover, which requires Kraft either makes a formal move on its £10.2billion approach or walk away for at least six months.
Deadline for Kraft to have a formal bid with Cadbury is November 9th, 2009
Based on their quarterly figures, Cadbury raised its sales and margin targets for this year, which was trying to push Kraft make further formal deal on the takeover deal.
Kraft still offer the same deal as before £3 cash+ 0.2589 Kraft shares for each share, which only worth £7.17 per share due to the decreasing of Kraft share price. Cadbury rejected the derisory bid.