North suburban-based Kraft Foods has taken its bid for an England candy maker to the next level.
Kraft bid more than $16 billion for the British company Cadbury last month. It’s a bid the candy maker’s chairman called an unattractive prospect.
Kraft could’ve changed the offer, but didn’t. It’s now taking its bid straight to Cadbury’s shareholders.
Erin Swanson is an analyst with Morningstar. She says because no other company came forward, Kraft would’ve been bidding against itself if it had changed its offer.
SWANSON: Given the attractiveness of Cadbury’s portfolio, while we expect them to adjust the offer, we don’t expect them to knock the ball out of the park.
Cadbury’s shareholders have until early next year to accept or reject Kraft’s offer.
In the meantime, Swanson says Kraft is in a wait-and-see mode to see if another bidder steps forward.