Shareholders in Cadbury Schweppes approved the demerger of the group on Friday, separating the confectionery business from the US fizzy drinks arm.
Next month Cadbury will become a London-listed chocolate and gum group and the beverages division will be listed separately in New York as Dr Pepper Snapple Group (DPSG).
Analysts believe the company, the world’s biggest confectioner, is interested in Hershey.
“Cadbury’s management has made clear that they are interested in a deal with Hershey in order to consolidate the confectionery industry,” said analyst Ian Kellett at Numis.
Others are conscious of obstacles, particularly that Hershey is controlled by a trust.
Cadbury Schweppes has a stock market value of more than £12billion. Hershey is valued at about £4.4billion.
If Cadbury fails to bid some analysts think it could be targeted by the likes of Kraft Foods or Wrigley.