LGIM and Neptune critical of 'undervalued' Cadbury deal

Legal & General Investment Management and Neptune have criticised Cadbury management over Kraft's agreed takeover bid, saying the 850p per share deal undervalues the confectioner.

The largest UK shareholder of Cadbury at 5.1%, LGIM says the bid "does not fully reflect" the long-term value of the company. "We are disappointed management have recommended the offer for this iconic and unique British company, but are grateful for the constructive way they have engaged with us throughout the process," LGIM head of active equities Mark Burgess says. Neptune Investment Management managing director Robin Geffen says it is a poor deal for everyone involved in Cadbury. "The latest bid for Cadbury's still involves part payment in Kraft shares which, at the current leve...