Hershey rejects USD 23 billion Mondelez International takeover offer

The snub underscores the challenges Mondelez Chief Executive Irene Rosenfeld faces in wooing Hershey's controlling shareholder, the Hershey Trust, a USD 12 bn charity created by the eponymous company's founder a century ago. The manunfacturer of Hershey’s Kisses and Reese’s Peanut Butter Cups saw its shares trade above Mondelez’s bid of $107 per share in cash and stock, indicating investors expected a new offer.    

Earlier, a source said that Mondelez International had sought to provide assurances to Hershey that it would keep its name and preserve jobs. Mondelez sees little antitrust risk given the limited geographic overlap of the two companies' businesses, the source added. "The board of directors of the company unanimously rejected the indication of interest and determined that it provided no basis for further discussion between Mondelez and the company," Hershey said in a statement.