Cadbury spurns 'low growth' Kraft

Link to the article: BBC News

UK confectioner Cadbury has said would-be suitor Kraft has a "low growth" business model, and that a tie-up between the firms is "unappealing".

Last week Cadbury rejected a £10.2bn approach from Kraft Foods, saying the approach "fundamentally undervalued" the Dairy Milk maker.

Now Cadbury chairman Roger Carr has sent an open letter to Kraft chief executive Irene Rosenfeld.

He said the Kraft proposal was "of uncertain value" for his shareholders.

The letter also says that under Kraft's offer, "Cadbury would be absorbed into Kraft's low growth, conglomerate business model, an unappealing prospect".
Cadbury statement re Kraft Foods proposal