Kraft applies with FAS to purchase Cadbury
MOSCOW. Nov 19 (Interfax) - U.S. company Kraft Foods Inc., the second leading producer of food products in the world, had applied with Russia's Federal Antimonopoly Service (FAS) to purchase control of Britain's Cadbury Plc's Russian subsidiary, OOO Dirol Cadbury.
Documents presented with Kraft's application, were insufficient for a final decision. Therefore, the FAS has extended the term of its review by two months, the agency said in its materials.
Kraft made an official offer to purchase Cadbury for $16.3 billion last week. Cadbury's board of directors made a recommendation to the company's shareholders to decline this offer.
Also possibly vying for Cadbury are U.S. company Hershey CO. and Italy's Ferrero SpA, which are both mulling the possibility of presenting a joint offer to purchase the British company.
Cadbury is a major world producer of confectionery goods having cornered 10.3% of the world market. Nestle follows second with 7.6% of the market, Hershey - 4.8% and Kraft - 4.5%.