Ferrero: opts out of Cadbury race

Alba / IT. (fg) Ferrero International SA has confirmed it is pulling out of the battle to takeover British chocolate institution Cadbury PLC. The Hershey Company earlier also declared itself out of the bid; following Kraft Foods´ announcement that it had agreed a 11,5 billion GBP takeover offer with Cadbury last week. The announcement from Ferrero came on the deadline for firms to make an offer to buy the British confectioner. In a statement, the Italian Group said: «Further to its announcement of November 18th, 2009, Ferrero International SA confirms that it does not intend to make an offer for Cadbury». Despite Cadbury agreeing to the terms of the Kraft offer, shareholders are yet to accept the offer and have until February 02nd to do so. Unions have come out against the takeover, with Unite national officer for the food sector, Jennie Formby, saying to British newspapers: «While there is still time for Cadbury shareholders to consider this offer there must be hope that wisdom will prevail. Unite has been inundated by messages from smaller shareholders who tell us they do not want this deal, and the popular outpouring of support for Cadbury shows there is no appetite for this deal. The City boys and hedge funds, who are only interested in turning a quick profit and care nothing for the people or communities of Cadbury, cannot be allowed carry the day».

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