Nuts to that; Hershey rejects kiss from chocolate competitor

The chocolate maker confirmed that it received the preliminary offer from Mondelez International to be taken over for a mix of cash and stock totaling $107 for each share of Hershey common stock.

In a note to investors, J.P. Morgan analyst Ken Goldman said that at least part of Mondelez's rationale for making the bid was probably "defensive in nature," as the company did not want to be acquired by The Kraft Heinz Co, if Kraft was even interested.

A tie-up between Mondelez and Hershey would have marked just the latest chapter in a series of deals in the packaged food industry, with companies looking for ways to improve their financial results while up against struggling sales growth in major markets such as the U.S. When Heinz announced plans to buy Kraft last year, for instance, executives cited the cost savings that would be achieved by combining manufacturing and distribution networks.