Cadbury today rejected a $16.73 billion takeover bid from food giant Kraft, the Wall Street Journal reports. The candy maker has recently undergone restructuring and divestment that it says make it more valuable—and more attractive to suitors like Kraft. The Cadbury board says the offer “fundamentally undervalues” the company. The bid boils down to around $12 per share; one analyst says $14 to $15 would be more reasonable.
Though a second bid from Kraft is widely expected, Cadbury says it has a “standalone strategy and growth prospects as a result of its strong brands, unique category and geographic scope.” Kraft also responded cagily, saying the bid was “full and fair” and that the company feels “very good about a stand-alone Kraft.” Other possible buyers, like Hershey, Pepsi, and Nestle, seem unlikely to step in for lack of capital or possible monopoly concerns.