Business World News of Fri, 17 Feb 20170
Kraft Heinz to pursue merger despite Unilever rejection
U.S. food company Kraft Heinz Co (KHC.O) has proposed a merger with Unilever (ULVR.L) (UNc.AS), but the Anglo-Dutch consumer goods company has declined, Kraft said on Friday.
"Kraft confirms that it has made a comprehensive proposal to Unilever about combining the two groups to create a leading consumer goods company with a mission of long-term growth and sustainable living," Kraft said in a statement.
"While Unilever has declined the proposal, we look forward to working to reach agreement on the terms of a transaction."
Unilever spokeswomen did not immediately reply to requests for comment.
Kraft said a further statement would be made as appropriate.
Unilever shares jumped as much as 14 percent to a record high. They were up 11 percent at 37.37 pounds at 1220 GMT, valuing the company at over 100 billion pounds ($124 billion).