Kraft Heinz Withdraws $143 Billion Offer to Merge With Unilever -

2017-02-20 2

Kraft Heinz Withdraws $143 Billion Offer to Merge With Unilever -
LONDON — Kraft Heinz has withdrawn its $143 billion proposal to create a consumer goods giant by combining with Unilever, the companies said Sunday.
“Our intention was to proceed on a friendly basis, but it was made clear Unilever did not wish to pursue a transaction.”
“It is best to step away early so both companies can focus on their own independent plans to generate value,” he added.
The withdrawal came two days after Kraft Heinz announced
that it had made a surprise offer to acquire Unilever, the maker of Dove soap and Axe body spray, Ben & Jerry’s ice cream and Hellmann’s mayonnaise.
Unilever said on Friday that the offer — an 18 percent premium to its closing
price on Thursday — “fundamentally undervalues” the British-Dutch company.
“Kraft Heinz has the utmost respect for the culture, strategy and leadership of Unilever.”
But Michael Mullen, a Kraft Heinz spokesman, offered more detail on why the company had stepped away so soon from its bid.