The Takeover Panel has issued Kraft with a put up or shut up deadline in its battle to buy rival Cadbury.
The US group has until November 9 to make a bid or walk away, following representations to the panel by Cadbury. The move has been long awaited, since Kraft made its first approach on 28 August.
Following the news Cadbury repeated its rejection of the Kraft offer of 745p a share, saying it made no strategic or financial sense and undervalued the company. Chairman Roger Carr said:
We have made our position on Kraft's proposal very clear and we welcome the panel's decision today in the interests of obtaining clarity and certainty for our shareholders and employees at the earliest opportunity.
In the market Cadbury's shares were steady at 799p. Analysts believe Kraft would have to offer between 850p and 900p a share to win the day. There is also the chance that rivals Hershey and Nestle might step in with a joint offer of their own.
