Cadbury moves Takeover Panel on Kraft

LONDON: Cadbury, the world���s second-biggest candy maker, asked UK regulators to force Kraft Foods to make a formal takeover bid or walk away from its proposal, according to two people familiar with the situation.

The Takeover Panel has begun discussions with advisers for both Cadbury and Kraft, and may make a ruling next week on whether to give Kraft a deadline to bid, the people said. They declined to be identified because the discussions were private.

Kraft, the Northfield, Illinois-based maker of Oreo cookies, said September 7 that it approached Cadbury with a proposed takeover now worth $16.2 billion, seeking the London-based company���s prowess selling Dairy Milk chocolate and Trident gum in emerging markets such as India. Kraft chief executive officer Irene Rosenfeld said a week ago that she was considering a formal approach and was trying to engage Cadbury in talks. Trevor Datson, a Cadbury spokesman, and Charles Crawshay, deputy director general of the Takeover Panel, both declined to comment, as did a spokesman for Kraft, the world���s second-biggest food company.

When the Takeover Panel issues a so-called put up or shut up notice, a bidder is given a deadline of about a month to make a formal offer. If the potential acquirer declines to do so, it can���t bid again for the same target for six months.