You are here: Home - Uncategorized -

Cadburys looks much sweeter to investors split into two

0
Written by:
15/03/2007

Cadbury Schweppes has confirmed that it plans to split itself up into two parts, separating the confectionery from the drinks side of its business.

The Americas Beverages sector is to split off from the more traditional Cadbury side – familiar to UK consumers with brands like Dairy Milk – and there have been reports that private equity groups are expressing interest in the drinks operation.

Cadbury said it would provide more information on the proposed demerger at its trading update briefing on 19th June.

“We believe now is the moment to separate and give both management teams the focused opportunity to extract the full potential inherent in these excellent businesses,” said Cadbury chairman Sir John Sunderland.

Shares in the company have risen 10% in this week alone as American businessman Nelson Peltz bought a stake, provoking much takeover speculation.

“I’m not surprised at Peltz’s intervention, as he has expressed an interest in hiving off the drinks arm and driving it forward apart from Cadbury,” said a senior commercial analyst at a City brokerage.

Cadbury’s is the third largest carbonated drinks company in the world by sales volume, behind Coca-Cola and Pepsi. It bought its US drinks business in 1995 for £1.8bn and in 2006 the division made profits of £584m.

Tagged:

Tag Box

Debt

Pension

Spending

Financial fitness

There are 0 Comment(s)

If you wish to comment without signing in, click your cursor in the top box and tick the 'Sign in as a guest' box at the bottom.

Are you a first-time buyer looking for a mortgage?

Look no further, get the help you need by searching for your perfect mortgage

Which ISA is right for you? A round up of the six products available in 2017

From cash to innovative finance to lifetime, here's our guide to the ISA products available to savers this yea...

Guide to buy-to-let tax changes

In late 2015, former Chancellor George Osborne announced a range of  tax measures aimed at landlords, which t...

A guide to switching energy provider

All you need to know about switching from one energy supplier to another.

What will happen if rates change

How your finances will be impacted by a rise in interest rates.

Regular Savings Calculator

Small regular contributions can build up nicely over time.

Online Savings Calculator

Work out how your online savings can build over time.

Five fund tips for a 0.25% interest rate environment

With interest rates stuck at a record low 0.25% and expectations rates could fall to close to zero, here are ...

Protecting family wealth: 10 tips for cutting inheritance tax

Inheritance tax - sometimes known as 'death tax' - can cause even more heartache for bereaved families. But th...

Travel insurance: Five tips to ensure a successful claim

Ahead of your summer holiday, it’s important to make sure you have the right level of travel cover or you co...

Investing your money

Alliance Trust Plc gives you smart insight into how to invest your money

Money Tips of the Week

Read previous post:
Asian stock markets bounce back but volatility continues

Asian stock markets have had a better day’s trading after Wednesday’s massive sell-off on the back of fears about the...

Close