Kraft to watch Cadbury results

Chocolate maker Cadbury’s trading update next week will be vital to it fighting off a takeover approach from US giant Kraft.

The week after Kraft will report its own results, allowing investors to number crunch the bid offer.

Analysts have speculated that chocolate sales could fall below guidance at Cadbury. The Takeover Panel has given Kraft the deadline of 9 November to table a formal bid or walk away. Investors now believe a bid from Kraft would be accepted around 800p-850p, as a white-knight bidder has so far failed to emerge.