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According to the spokesperson of Kraft Foods Inc, its bid worth 10.2 billion pounds for acquiring Cadbury PLC was rejected by the British chocolate manufacturer.
But an undeterred Kraft has decided to go ahead with a transaction deal which will be supported by the board of Cadbury.
Cadbury, which is into the manufacturing of Cadbury chocolates, Trident and Dentyne gum and Halls and Bassett's candies, was not available for immediate comment.
Kraft is the manufacturer of renowned brands like Velveeta, which are the cheese products as well as Oreo cookies. Kraft has disclosed that it had offered Cadbury a bid worth 300 pence in cash and 0.2589 new Kraft Foods shares per Cadbury share. A Cadbury share currently comes at 745 pence.
Kraft, which is located in Northfield, Illinois, said the combination would create "a global powerhouse in snacks, confectionery and quick meals," with leading positions in developing markets including India, Mexico, Brazil, China and Russia.
"This proposed combination is about growth. We are eager to build upon Cadbury's iconic brands and strong British heritage through increased investment and innovation," said Irene B Rosenfeld, chairman and CEO of Kraft Foods.
