Mondelez drops Hershey merger plans
US industrial snacks giant Mondelez International has dropped plans to merge with chocolatier The Hershey Company.
The announcement came nearly two months after Hershey, the maker of Reese’s Peanut Butter Cups and Hershey’s Kisses, rejected a US$23 billion takeover offer from Mondelez.
The merged company would have overtaken Mars as the world’s largest candy purveyor.
In June, the Hershey board of directors said it had “carefully reviewed” a bid of $107 per share for the company and found it offered “no basis for further discussion”.
Hershey is an iconic American brand controlled by a family trust which overseas charitable funds.
The Deerfield, Illinois-based Mondelez, formerly known as Kraft Foods, also produces popular lines of sweets.
Iconic American brand Hershey is owned by a family trust.