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French-UK bid for Nabisco?
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June 5, 2000: 8:30 a.m. ET
Report: UK's Cadbury, France's Danone plan joint $15B bid for U.S. food maker
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LONDON (CNNfn) - Britain's Cadbury-Schweppes and French food group Danone are planning a £10 billion ($15.1 billion) joint bid for Nabisco, according to a published report, which said the buyers would carve up the U.S. snack maker between them if their offer is successful.
Both companies declined to comment Monday on the Sunday Times report that said Danone, one of the world's largest food producers, would pay £6 billion, with the aim of keeping in Nabisco's cookie business. Cadbury (CBRY), the world's third-largest drinks company, would contribute £4 billion, and take the sauces, breakfast-cereals and snack divisions.
 In May, Cadbury expressed an interest in parts of Nabisco's business and joined several other interested parties that have already signed confidentiality agreements with Nabisco (NGH: Research, Estimates) to allow them to hold talks with the U.S. company.
A joint approach by Cadbury and Danone would put them in competition with other giants such as RJ Reynolds Tobacco Holdings (RJR: Research, Estimates), current favorite Philip Morris (MO: Research, Estimates), and U.S. financier Carl Icahn.
A spokeswoman for Danone, the world's largest cookie maker, said the company was "studying the case, but we are still at a preliminary stage. We decline to make any other comment."
Danone has made international development a priority, aiming to force its way into the U.S. market to supplement its leading positions in bottled water and dairy products. Chairman Franck Riboud told shareholders at the company's annual general meeting in May that its interest in Nabisco fitted with its aim to become the world's No. 1 player in each of its three businesses in every country where it operates.
In midday trading, Danone share rose 4.5 percent to  130.6 in Paris, while Cadbury gained 1 percent to 419 pence. 
--from staff and wire reports
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