British confectioner Cadbury criticised US food giant Kraft Foods for having a "low growth" business model in rejecting their "unappealing" takeover bid a letter on its website showed.
The letter from Cadbury chairman Roger Carr to Kraft Foods chairman and chief executive Irene Rosenfeld explained why Cadbury rejected the offer.
Kraft Foods recently launched a 10.2 billion pound (Bt572.6 billion) bid for Cadbury, an offer spurned by the British group.
Despite the snub, Kraft said it hoped the venerable maker of Cadbury Dairy Milk chocolate bars other brands would eventually jump on board.
"In my letter of August 31, I informed you that the board had rejected your unsolicited proposal on the grounds that it is unattractive and fundamentally undervalues Cadbury," wrote Carr in the letter dated yesterday.
"Under your proposal, Cadbury would be absorbed into Kraft's low growth conglomerate business model, an unappealing prospect which contrasts sharply with our strategy to be a pure-play confectionary company."
"Your proposal fundamentally fails to reflect the current value of Cadbury as a standalone business, its growth prospects and the potential synergies of a combined entity."
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