In a move that’s a bit like saying, ‘No, we broke up with you,’ Mondelēz International, Inc. has announced it has ended discussions with The Hershey Company regarding a possible combination of the two companies.
The announcement comes after Hershey clearly said this summer that it wasn’t interested in pursuing an acquisition deal. Back in June when Mondelez originally proposed an acquisition, Hershey released a statement saying, “[The Hershey Co’s] board unanimously rejected the indication of interest and determined that it provided no basis for further discussion between Mondelēz and Hershey.”
However Mondelez continued to pursue some sort of combination of the two snack and confectionery giants, and only this week released a statement saying that they were no longer interested.
"Our proposal to acquire Hershey reflected our conviction that combining our two iconic American companies would create an industry leader with global scale in snacking and confectionery and a strong portfolio of complementary brands,” explains Chairman and CEO Irene Rosenfeld. “Following additional discussions, and taking into account recent shareholder developments at Hershey, we determined that there is no actionable path forward toward an agreement.”
Rosenfeld added that Mondelez was, “disappointed in this outcome,” but would remain committed to looking at other opportunities for growth, including possible acquisitions.