Cadbury on Monday rejected a hostile cash and shares bid from Kraft that valued the UK confectionery group at £9.8bn or 717p a share, after the US food group formalised the terms of an indicative offer it made two months ago.
Shares in Cadbury, which had been trading higher in morning trading in London, fell 2 per cent after Kraft announced its bid but recovered later in the session to stand fractionally higher at 758½p. Kraft shares were little changed in New York at $26.79.
