Italy’s Ferrero and US-based Hershey have confirmed they are reviewing options for a possible bid for Cadbury.
However analysts and investors doubt they would be able to put together the means to see off a hostile 11 billion euro bid from US food group Kraft. Cadbury’s shares rose and for a short while were back above 800 pence for the first time in almost a month. The European bourses cut their earlier gains tracking Wall Street, which fell because of US housing start data. Mobile phone companies were the worst performers; Vodafone, Cable & Wireless and Deutsche Telekom all fell. However buoyant commodity prices boosted shares of oil producers and miners. Brent crude was up over one percent. British retailer Marks & Spencer rose 5.9 percent, as analysts welcome the appointment of Marc Bolland as its new chief executive. He is credited with turning around William Morrison Supermarkets.