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Cadbury sweetens the bond between banks and lawyers

Kraft’s acquisition of the UK confectioner showed that relationships are as vital as ever for bankers and lawyers

Kraft’s takeover of UK chocolate-maker Cadbury may have left a bitter taste in the mouths of patriotic types, but bankers and lawyers have spent days appreciating its sweet rewards with a sense of shared camaraderie.

In an otherwise subdued period, the $22.5bn (€16bn) transaction, which reached its climax last week, provided gainful employment for 12 financial advisers and at least 14 different law firms. Some of these were retained, long-term advisers to Cadbury, Kraft and other interested parties including US confectioner Hershey and Italian rival Ferrero. However, most were drafted in the later stages of a bidding war that lasted four months. In many cases, they were recommended by their counterparts at favoured banks or law firms.

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