Total Newbie - Making sense of this Guardian article - Caburys/Kraft

I seen in the news about Caburys/Kraft offer several times over the past week.

http://www.telegraph.co.uk/finance/...rsuit-of-Cadbury-Nestle-rules-itself-out.html

Kraft said on Tuesday that owners of Cadbury shares will be able to choose to receive an additional 60p in cash instead of the Kraft shares they would otherwise get.

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If the offer values the shares at a premium (however small), why would anyone want cash? Can they not just unload the shares immediately after receiving thus at a better price?

Kraft said on Tuesday that owners of Cadbury shares will be able to choose to receive an additional 60p in cash instead of the Kraft shares they would otherwise get.

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Where do the shares come from? Are they essentially dilutting the shareholders ownership of the company based on them absorbing Caburys? Like a rights issue used to get funds to make acquisitions but just the other way round?


Sorry total newbie

Hey,
This is in comparison to the first offer.
They have just increased the cash portion by 60p (meaning that the share portion will be proportionally smaller). So the overall value does not change but for Cadbury shareholders, to "unload the shares immediately after" poses a liquidity risk so it is preferable to have a larger cash portion.
It looks like a standard cash+share takeover bid, with the Cadbury share at the moment still valued at a discount.