Warren Buffett against Kraft's acquisition of Cadbury
Aside from the price Kraft would pay for Cadbury, Buffett also questioned Kraft selling its pizza business to Nestle SA in a move that raised cash for the Cadbury deal.
Billionaire investor Warren Buffett on Wednesday came out against Kraft Foods Inc proposed $19.6 billion acquisition of Cadbury Plc."I've got a lot of doubts about the deal," Buffett, whose Berkshire Hathaway is Kraft's largest shareholder, said in an interview on CNBC. "If I had a chance to vote on this, I'd vote no." Aside from the price Kraft would pay for Cadbury, Buffett also questioned Kraft selling its pizza business to Nestle SA in a move that raised cash for the Cadbury deal. "I feel poorer," Buffett said of the deals. Buffett said Kraft shares are undervalued. Kraft shares fell 3 percent to $28.54 in premarket trading after Buffett's comments.