HUL shares rise as Kraft withdraws $143 billion Unilever merger offer

Shares of Hindustan Unilever (HUL) surged on Monday after the US food company Kraft Heinz Co withdrew its proposal for a $143-billion merger with Unilever Plc. 

At 1001 hours the shares of HUL were trading at Rs 853.30 apiece, up 1.30% or Rs 10.95 on BSE. 

On Friday, Kraft Heinz had signaled that it would press ahead with its campaign after the British-Dutch consumer products manufacturer said the initial proposal "fundamentally undervalues" its worth, as reported by PTI. 

"Unilever and Kraft Heinz hereby announce that Kraft Heinz has amicably agreed to withdraw its proposal for a combination of the two companies," they announced in a joint statement.

The deal would have created a giant in global food -- second only to Nestle -- joining the maker of Kraft cheese and Heinz ketchup to its European counterpart.