Buffet does not approve Krafts bid of Cadbury; Won’t sell shares though
Though he still does not approve Kraft’s acquisition of Cadbury, Warren Buffett says he has no plans to sell his stake in the company. Buffett’s Berkshire Hathaway is Kraft’s largest stockholder and he has been vocal in his belief that Kraft overpaid for the European chocolate and gum maker. Kraft sold its pizza business to help fund the deal and Buffett said Wednesday that the company sold it for too little, and then didn’t value Kraft shares high enough when it bid for Cadbury. Buffett spoke to The Associated Press before Berkshire’s special shareholder meeting in Omaha.
Shareholders will be voting on whether to split the company’s Class B shares in a move tied to Berkshire’s purchase of Burlington Northern Santa Fe Corp.