The chairman of UK candy maker Cadbury PLC says Kraft Foods is a low-growth conglomerate whose takeover offer undervalues his company.
Roger Carr laid out his opposition to Kraft's bid in an open letter Saturday to Kraft CEO Irene Rosenfeld.
Kraft issued a cash-and-stock offer originally valued at $16.7 billion for Cadbury on Monday.
Since then, Kraft shares have fallen about 7 percent, which Carr said made Kraft's bid an "uncertain value" for Cadbury shareholders.
Carr says under Kraft's offer, "Cadbury would be absorbed into Kraft's low growth, conglomerate business model, an unappealing prospect" that contrasts with Cadbury's strategy to remain a confectionery company.
Kraft makes cheese, Maxwell House coffee and Oscar Mayer meats. Cadbury sells candy and Dentyne gum.
AP