More players are reportedly showing interest in the race to acquire Cadbury plc (CBY,CBRY.L, CDSCF.PK), which may force U.S. food products company Kraft Foods, Inc. (KFT) to increase its $16.3 billion offer for the UK-based confectioner, reports said. Just days after U.S. chocolate maker Hershey Co. (HSY) said it is reviewing its options with regard to a potential offer for the maker of Dairy Milk chocolates, Swiss chocolate giant Nestle S.A. is said to be considering a higher offer for Cadbury (NSRGY.PK).
Kraft made an offer worth more than $16 billion to acquire Cadbury in late August, which was rejected by the company's board. On November 9, Kraft made a formal unsolicited offer to acquire Cadbury, but Cadbury rejected what it called a 'derisory offer' and encouraged shareholders to turn down the bid, noting it is worse than a previous offer due to the fall in the Kraft share price since September.
Kraft's most recent cash and share offer values Cadbury at GBP 9.8 billion, below the GBP 10.2 billion offered in September, before Kraft shares slid and the dollar slumped badly, compared to the sterling. Cadbury then said the offer did not come remotely close to reflecting the true value of the company, and involves the unattractive prospect of the absorption of Cadbury into a low growth conglomerate business model.
Soon after Kraft made the offer in August, reports had appeared linking Hershey with Nestle in the race for Cadbury. However, reports said last week that Hershey was in talks with Italian chocolate maker Ferrero SpA about a potential joint venture for launching a bid for Cadbury.
The Wall Street Journal reported last week that the charitable trust that controls Hershey is pushing for a $17 billion bid for Cadbury. One of the options from Hershey may be a $10 billion offer in cash and a $2 billion in new Hershey shares, it said, with an additional $3 billion-$5 billion in cash from rich investors in exchange for equity in Hershey.
Cadbury has operations in chocolate, gum and candy, and has strong business in emerging markets. The company said last month that its third-quarter revenue grew 10% in emerging markets. Gum comprises about 35% of its revenues, which is wooing many of the suitors.
Kraft and Cadbury together will become the largest maker of candy, upsetting the positions of Nestle and Hershey. If Nestle or Hershey makes a higher offer, Kraft is likely to increase its offer. Kraft has not said that its offer is final.
Nestle is reportedly in discussions with bankers about possible options. However, the Milky Bar maker may have to face anti-trust hurdles if it pursues Cadbury, as a combination of the two companies may dominate some markets.
CBRY.L closed Friday's regular trade at 800.50 pence, up 9.50 pence or 1.20%, on 8.04 million shares.
HSY settled on Friday at $37.18, up $0.04, on 1.61 million shares.
KFT shares were up $0.20 or 0.74%, when the regular trade ended on Friday, on a volume of 11.40 million shares.
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June 05, 2026 16:18 ET A busy week for economic news flow saw a slew of reports being released that reflected the trends in the U.S. labor market. In Europe, economic growth and inflation data gained attention as the European Central Bank and Bank of England head for policy session later in the month. In Asia, the monetary policy session of the Indian central bank was in focus as the country, a major oil importer, reels under the pressures of a weaker rupee and rising inflation.