Saturday, May 25, 2013
By Jessica Hall firstname.lastname@example.org
Hostess Brands Inc. confirmed on Thursday that Flowers Foods will acquire the bulk of Hostess' bread business for $360 million after no other qualified bids were received.
A Hostess Twinkies sign is shown at the Utah Hostess plant in Ogden, Utah, Thursday, Nov. 15, 2012. Hostess Brands Inc. confirmed on Thursday that Flowers Foods will acquire the bulk of Hostess' bread business for $360 million after no other qualified bids were received. (AP Photo/Rick Bowmer)
Flowers will acquire Hostess's Wonder brands, as well as Butternut, Home Pride, Merita and Nature's Pride, pending approval by the U.S. Bankruptcy Court. In addition to the brands, Flowers will acquire 20 bakeries, 38 depots and other assets.
Hostess did not immediately return calls seeking comment on the future of the Biddeford bakery.
Hostess closed its doors in November after years of financial problems. In Maine, 500 Hostess employees lost their jobs, including 370 at the Hostess bakery in Biddeford.
In a separate deal, Mexico's Grupo Bimbo was selected on Thursday as the winning bidder for Hostess' Beefsteak brand with a bid of $31.9 million.
Hostess will ask the U.S. Bankruptcy Court for the Southern District of New York to approve both transactions at a hearing on March 19.
Hostess also is pursuing the sale of its remaining brands, which include Hostess, Dolly Madison, Drake's, Sweetheart, Eddy's, Standish Farms and Grandma Emilie's.