Cadbury, under siege from a bid by Kraft, will look to paint a picture of growth at next week's update to try and see off the predator with analysts focusing on sales, volumes and margin trends.

The world's second largest confectionery group issues a third quarter update on October 21 after rejecting a 10.2 billion pound ($16.57 billion) bid proposal in early September while the UK Takeover Panel has given Kraft until November 9 to come up with a firm bid.

Britain's Cadbury is not expected to say anything new on the bid in its update but will look to bolster its defenses with an upbeat trading statement, but analysts say it may have limited room and may only be able to reiterate its 2009 sales and margin targets.

Many analysts believe Kraft will wait until after its own third quarter results on November 3 before increasing its bid, with most saying it will have to offer 850 to 900 pence per share to win Cadbury board approval and not turn to a hostile bid.

Kraft's cash and share offer initially valued Cadbury shares at 745 pence, or 10.2 billion pounds, but the fall in Kraft shares makes it worth 723 pence, against a Cadbury price 788 pence by 1205 GMT (8:05 a.m. EDT).

Cadbury United kingdom