Cadbury Rejects Kraft's $16.73 Billion Bid

Cadbury PLC's quick rejection of Kraft Foods Inc.'s surprise 10.2 billion pound ($16.73 billion) takeover offer sets up what could be a drawn out struggle for the iconic U.K. confectioner, which has long harbored bigger ambitions of its own.

Kraft's cash-and-stock bid was disclosed early Monday and swiftly rejected by the Cadbury board, which said the bid "fundamentally...