Confectionery giant Cadbury has finally succumbed to repeated bids for its holdings, with its board announcing that it has approved a takeover bid by food megalith Kraft Foods.

The merger will create a food and confectionery company with an estimated $1 billion worth of sales.

Cadbury chairman Roger Carr said that the offer represents good value for shareholders

“We are pleased with the commitment that Kraft Foods has made to our heritage, values and people throughout the world. We will now work with the Kraft Foods management to ensure the continued success and growth of the business for the benefit of our customers, consumers and employees,” explained Carr.

Despite enthusiasm from Cadbury’s shareholders, concerns have risen within the company that many jobs will be lost through the merger.

British trade unions accuse the US company of merging to relieve its huge debts to a company that posts profits, meaning many jobs will be lost.

However the bid is yet to be accepted by shareholders, with US confectionery king Hershey also apparently tabling a bid for the company.