Hostess hires agent to assist in auctions

by Eric Schroeder
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NEW YORK — Federal Bankruptcy Judge Robert Drain on Jan. 8 approved the appointment of privately-held Hilco as the agent representing Hostess Brands, Inc., in the auction of its assets.

Hilco will sell all real estate, machinery and equipment, and rolling stock assets that remain in the company’s estate following the completion of bankruptcy court supervised auctions conducted by investment bank Perella Weinberg Partners. Hilco also will assist Perella Weinberg Partners in the sale of any remaining intellectual property. The auctions are expected to be completed this spring.

 “This assignment carries with it great responsibilities,” said Jeffrey B. Hecktman, chairman and chief executive officer of Hilco. “As the liquidating agent representing Hostess Brands, I am confident that Hilco will succeed in generating maximum value for the benefit of company’s creditors.

“Hilco has managed multiple asset class sales of this nature in the past. Our strategy has been to use an integrated approach to value enhancement, made possible by leveraging the deep expertise and global reach of three Hilco business units that are core to the Hostess assignment: Hilco Real Estate L.L.C., Hilco Industrial, L.L.C. and Hilco Streambank.”

 A fourth business unit, Hilco Asset Protection, L.L.C. has been hired by Hostess to provide security services at bakery facilities across the country for the duration of the sale process.

 Headquartered in Northbrook, Ill., Hilco Trading, L.L.C. is a privately-held, diversified financial and operational services firm whose principal competency is understanding and maximizing the value of business assets, including retail, consumer and industrial inventory; machinery and equipment; real estate; accounts receivable; intellectual property; and, going-concern enterprises. Over the last 10 years Hilco has sold more than $20 billion of assets in more than 60 countries around the world.
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READER COMMENTS (4)

By Michael Bowser 1/16/2013 4:49:33 PM
Take another sip of the cool-aid, Al then read: "Hostess liquidation options explored last summer" article on this site. This was planned all along no matter what labor did. Du

By Michael Bowser 1/16/2013 4:44:36 PM
Take another sip of the cool-aid, Al then read: "Hostess liquidation options explored last summer" article on this site. This was planned all along no matter what labor did. Du

By Al Bundy 1/11/2013 11:35:30 AM
Some of the blame needs to go to the bakery union leadership which advised a strike even after the company said such a move would lead to liquidation. The Teamsters, not exactly a pro-Hostess management organization, recognized that the company was not bluffing or lying.

By Michael Bowser 1/10/2013 9:39:05 PM
What about the equity of almost 20.000 families who lost their livelihood to these vulture capitalists