Mondelez explores takeover of US Chocolate maker Hershey

New Delhi: Mondelez International Inc., the company behind snacks like Oreo and Cadbury, is reportedly in preliminary discussions to acquire Hershey Co., the American chocolate maker. 

News reports mentioning sources stated that these early-stage talks could lead to the creation of a food giant with combined sales nearing $50 billion.

Hershey, known for brands like Hershey's Kisses and Reese's Peanut Butter Cups, has a market value of approximately $35 billion, while Mondelez stands at about $84 billion.

This isn't the first time Mondelez has eyed Hershey; they had previously attempted a takeover in 2016 but walked away after Hershey rejected a $23 billion offer. Any potential deal would require the backing of the Hershey Trust Co., which holds nearly 80% of the voting power in Hershey due to its ownership of Class B shares.

Both companies have remained silent on the speculation, maintaining their policy of not commenting on market rumours.