Qualified advisers answering your
Financial Questions
call 0800 092 1245

UK authorities looking into Kraft Foods takeover of Cadbury

In a startling development it has been revealed that the Panel on Takeovers and Mergers is looking into the takeover of Cadbury by Kraft Foods. It is believed the authorities have received complaints regarding comments made during the bidding period when Kraft Foods appeared to indicate that the company's Somerdale's plant would remain open despite the fact that Cadbury itself had earmarked the operation for closure.

After the company was successful in acquiring Cadbury a U-turn was announced whereby the original decision by Cadbury to close the plant in question was upheld. It is unclear exactly what the authorities may or may not do if the company is found to have "misled" investors during the bidding period because ultimately situations change and Cadbury had itself initially earmarked the plant for closure.

There is no doubt that the Kraft Foods acquisition of Cadbury has become one of the more controversial of recent years with the UK government apparently concerned about job prospects for the existing Cadbury UK operations. There has been some suggestion of potential protection rules and regulations in the future which would safeguard UK employment in the event of future takeovers but ultimately this goes against the grain of a free market and is unlikely to be adopted.

Share this..

Related stories

Financial Guides

Financial Calculators

Our useful calculators can help you get your finances in order:

Latest News


Helpful new tax year facts that could affect you and your money

Blog | Seven helpful new 2016/2017 tax year facts that could affect you and your money. Our recent online blog shares a brief outline on how to stay up to date.

Read more

Useful Links

Popular Searches

Please Enter More Details

Enter More Details