Yesterday, Cadbury PLC Chairman Roger Carr and the rest of the board unanimously voted to accept Kraft Foods Inc.’s improved $19.4 billion offer. The acceptance ends the independence of a 186-year-old icon of U.K. industrial history.
Now Mr. Carr will be faced to the task of demonstrating that things he’s said over the past four months criticizing the U.S. food giant were simply to get a better deal for Cadbury. Given the multiple of 13 times Cadbury's earnings that Kraft is paying is less than the multiples paid in other recent food sector deal—a point Mr. Carr himself has made during the takeover battle—this may be a difficult angle to argue.
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