Personally I think this is a real shame. Cadbury is the best of British confectionary, and it should remain a British company. And after what Kraft did to Terrys it's clear they don't care about the company, the staff, or the legacy, only the money.


Cadbury is to be taken over by the US food company Kraft after its board approved a new increased bid.

The Cadbury board has advised its shareholders to accept a new offer of 840 pence a share - valuing the company at £11.5bn ($18.9bn). Kraft said the deal would create a "global confectionery leader". But there are renewed fears over possible job cuts at Cadbury's UK operations as a result of the agreed takeover. Shareholders have until 2 February to give the deal their backing, with the US confectioner Hershey apparently out of the race.

The offer will consist of 500 pence in cash, with the rest made of Kraft shares. Kraft will borrow £7bn ($11.5bn) to finance the deal. The increase in Kraft's debt to pay for Cadbury will doubtless worry its employees

"We believe the offer represents good value for Cadbury shareholders... and will now work with the Kraft Foods' management to ensure the continued success and growth of the business," said Cadbury's chairman Roger Carr. Irene Rosenfeld, the chairman and chief executive of Kraft Foods, said the deal was good news for shareholders and staff. "We have great respect for Cadbury's brands, heritage and people," she said. "We believe they will thrive as part of Kraft Foods."

The deal is a significant increase on earlier Kraft bids, which were flatly rejected by the Cadbury board as "derisory". Kraft's previous offer valued the company at £10.5bn - a bid Cadbury's chairman Roger Carr said was an attempt to "buy Cadbury on the cheap".

Shareholders are expected to agree to the takeover. David Cumming, head of UK equities at Cadbury shareholder Standard Life, said that he would be agreeing, despite hoping for a higher price. "I won't go against the view of Cadbury's management," he told the BBC. "Kraft are getting a good deal. It's sad that Cadbury is gone, but business is business." In early trading on Tuesday, Cadbury shares were up 3.5%.

Unions have expressed concerns that the Kraft takeover could cost jobs. The company has given no specific assurances over the future of 4,500 UK jobs, though it says it wants to invest in the Bournville site and maintain production at Somerdale, near Bristol, also known as Keynsham.

It has not ruled out cuts, and staff numbers at Cadbury's head office in Uxbridge are expected to be reduced, according to the BBC's business editor Robert Peston.

Jennie Formby from the Unite union said the need for Kraft to cut costs could mean staff cuts in the longer-term. "We are concerned about the levels of debt that Kraft has," she told the BBC. "The sad truth is that when they have to pay down that debt, the soft option is jobs and conditions. "When you have to make cost savings of the magnitude they will need to make, you have to ask where those cost savings will be made."

Those fears were shared by David Bailey, professor at Coventry University Business School. "Serious questions need to be asked about Kraft's intentions," he said. "Kraft already has a track record of cutting production and moving production abroad. There's no guarantee that they'll keep production in the UK in the long run."

History of Cadbury

- John Cadbury, a Quaker, opened a shop in Birmingham in 1824, selling tea, coffee and hot chocolate - as an alternative to alcohol
- Dairy Milk brand introduced in 1905, with Milk Tray coming 10 years later
- Merged with rival confectioner J.S. Fry & Sons in 1919
- Merged with Schweppes drinks business in 1969. Its drinks arm was spun off in 2008
- Employs about 45,000 people in 60 countries
- Cadbury brands include: Dairy Milk, Flake, Crunchie, Chocolate Buttons and Milk Tray

This comment is completely subjective, but read on if you want!

As long as they keep Cadbury World in Bourneville open, I'll be happy ;D
Their original factory is only like 20 minutes away from where I live, but the tours were much better when I was a kid than they are now. They gave me so much chocolate when I was a kid that I threw up ;D And you used to be able to go round most of the factory; you haven't been able to do that for at least ten years now.

However, I don't really like Cadbury's chocolate (now I'm older and my taste buds have developed). Their chocolate is pretty much sugar. I couldn't find the cocoa content but I know it's not high. I find it too sickly. For milk chocolate I prefer Galaxy, but since I'm lactose intolerant I stick to Green and Black's :)

And I like Terrys. And I like Kraft. I mean, they make Dairylea! What's not to like?!

I love that all these 'OH I'm going to boycott Cadbury's now!' groups are popping up on Facebook. Haha yeah whatever, course you will.

And 840p a share? If I were a shareholder I know which side I'd be on! At the end of the day, the UK is no longer a world player and we need to stop pretending it still is. My bank (Abbey) got taken over by the Spanish bank Santander a few years back and it has definitely improved.

Oh and hey, better Kraft than Hershey's! Hershey's tastes like vomit to me. True story.

I went to Cadbury world as a child and loved it! As long as they keep it open so I can take Oscar I'm happy! Though since you have said its changed so much I may be very dissappointed. I remember going round everywhere trying everything, it reminds me a bit of willy wonka lol!

Oh no it's still good, especially for kids.

NNNNNNNNNNNNNNNNNNOOOOOOOOOOOOOOOOOOOOOOOOOOO!!!!!!!!!!!!!

And yes, hersheys DOES taste like vomit!