Kraft Makes $16.7 Billion Bid For Cadbury

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More evidence that the deal (and even the megadeal) is back: Kraft (KFT) has announced a whopping $16.7 billion unsolicited bid for UK foodmaker Cadbury. The offer represents a huge 30% 40% premium, and on the news the entire UK market is getting a lift. Cadbury has rejected the deal, but shares are up 40% on the belief that there’s more to come.

We’d expect the US to follow suit when it opens tomorrow, simply on deal enthusiasm.

Indeed, after a long period of no-deals happening, M&A activity is back. Just this week, Disney announced its acquisition for Marvel, and Baker Hughes acquired BJ Services. There’s also been a lot of speculation of a forthcoming deal in the fertiliser space.

All this is of course great news for bankers and lawyers, who spent several months sitting on their hands or reaching out to headhnters.

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