Reports: Judge approves sales of Hostess brands
NEW YORK – A bankruptcy judge approved the winning bids in the sales of certain Hostess Brands, Inc.’s snack cake brands and bread brands, according to reports from both the Associated Press and Reuters.
According to the Associated Press report, the judge approved an offer for the snack cakes brands from Apollo Global Management, L.L.C. and Metropoulos & Co. H.B. Holdings L.L.C., an affiliate of private equity groups Apollo Global Management and Metropoulos & Co., made a $410 million offer for the Hostess and Dolly Madison snack cake business, which includes the Twinkies brand. It was the only qualified bid received by the March 11 deadline.
Five plants acquired in the transaction are in Los Angeles, Columbus, Ga., Schiller Park, Ill., Indianapolis, and Emporia, Kas. HB Holdings also will acquire depots in Kansas City, Schiller Park and Los Angeles.
The judge also approved winning bids from Flowers Foods, Inc., Thomasville, Ga., and Bimbo Bakeries USA, Horsham, Pa., for the Hostess bread brands, according to the AP.
Flowers bid $360 million for certain Hostess assets. Besides the brands Wonder, Nature’s Pride, Merita, Home Pride, and Butternut, the assets included 20 baking plants and 38 depots. Bimbo Bakeries was said to have bid $31.9 million for the Beefsteak rye brand. Flowers previously had bid $30 million.