Paulson & Co, the New York hedge fund, has disclosed a 2.08 per cent stake in Cadbury following Kraft’s £9.8bn ($16.4bn) hostile bid this week, indicating a rise in hedge fund interest in the confectionery group.

Paulson & Co was founded by billionaire John Paulson, who has become one of the most closely followed hedge fund managers after his bet against subprime mortgages became the most profitable trade in history in 2007, with profits of more than $10bn.