The world’s second-largest confectioner has approved a revised takeover bid from Kraft Foods, in a $19.5 billion deal that may seem bittersweet. What does the related food and beverage exchange traded fund (ETF) stand to gain from this?

After months of less-than-friendly negotiations, Cadbury (NYSE: CBY) has accepted a bid from food giant Kraft (NYSE: KFT). Cadbury Chairman Roger Carr said the $19.5 billion deal amounted to “good value for Cadbury shareholders.” [The original bid created a heated debate.]

Originally, the $16.3 billion approach did not work out. Once Kraft sweetened the terms of the deal — by raising the amount of cash it was offering alongside its own shares — Cadbury bit, reports Simon Dawson for Time.  The new deal is expected to be granted shareholder approval before the deadline expires in two weeks. [Read about the battle here.]

The British confectioner may be just the sugar rush that Kraft needs, after recent quarterly earnings reports have looked a bit anemic. The related ETF will get the boost it needs, PowerShares Dynamic Food And Beverage (NYSEArca: PBJ), which holds 4.6% in Kraft. Also, Vanguard Consumer Staples ETF (NYSEArca: VDC) has a 3.8% weighting in Kraft.

For more stories about food and beverage, visit our food and beverage category.

The opinions and forecasts expressed herein are solely those of Tom Lydon, and may not actually come to pass. Information on this site should not be used or construed as an offer to sell, a solicitation of an offer to buy, or a recommendation for any product.