Hostess Set To Announce Bidder For Twinkies - MyFoxAustin.com | KTBC Fox 7 | News, Weather, Sports

Hostess Set To Announce Bidder For Twinkies

Posted: Updated:

The indestructible Twinkie appears to be one step closer to a comeback.

Hostess Brands is close to announcing that it has picked two investment firms -- C. Dean Metropoulos & Co. and Apollo Global Management -- as the lead bidders for its Twinkies and other snack cakes, according to a source close to the situation who was not authorized to comment publicly on the talks.

The joint "stalking horse" bid would set the floor for an auction process that lets competitors make better offers. A judge would have to approve any final sale.

After years of management turmoil and turnover, Hostess declared it was going out of business and selling its brands in November. The company, based in Irving, Texas, has already announced separate lead bidders for other its brands. McKee Foods, which makes Little Debbie snack cakes, was picked as for Drake's cakes, which include Devil Dogs, Funny Bones and Yodels.

Flowers Foods, which makes Tastykakes and a variety of breads, was picked as the lead bidder for six of Hostess' major bread brands, including Wonder.

United States Bakery Inc. was picked as the lead bidder for a number of smaller bread brands.

Citing sources close to the situation it did not same, the Wall Street Journal reported Tuesday that the offer for Twinkies and other snack cakes by C. Dean Metropoulos and Apollo would be for more than $400 million. The report said that the deal could be disclosed as early as Tuesday.

A representative for Apollo declined to comment. A representative for C. Dean Metropoulos did not return calls for comment.

Hostess has stressed in bankruptcy proceedings that it needs to move quickly in the sale of its brands to capitalize on the outpouring of nostalgia and media coverage prompted by its demise. The longer the cakes and breads are off shelves, the more people will become accustomed to eating cakes and breads by rivals, the company has said.
  

  • Local NewsMore>>

  • 1 Person Killed in Bethel Township Accident

    1 Person Killed in Bethel Township Accident

    Monday, September 1 2014 10:03 PM EDT2014-09-02 02:03:33 GMT
    1 person was killed in an accident in Bethel Township, Delaware County on Monday evening.Initial reports indicate that a vehicle may have hit a tree and overturned. It happened on the 3300 block of Foulk Road around 8:30pm.Foulk Road was closed for several hours while police investigated the crash scene.Stay with Fox 29 News for updates.
    1 person was killed in an accident in Bethel Township, Delaware County on Monday evening.Initial reports indicate that a vehicle may have hit a tree and overturned. It happened on the 3300 block of Foulk Road around 8:30pm.Foulk Road was closed for several hours while police investigated the crash scene.Stay with Fox 29 News for updates.
  • Council Rock South Mourns The Loss Of Three Classmates

    Council Rock South Mourns The Loss Of Three Classmates

    Monday, September 1 2014 5:23 PM EDT2014-09-01 21:23:09 GMT
    Three boys from Council Rock South High School died over the weekend when their SUV overturned.
    Three boys from Council Rock South High School died over the weekend when their SUV overturned.
  • Hamels, 3 Phillies relievers no-hit Braves

    Hamels, 3 Phillies relievers no-hit Braves

    Monday, September 1 2014 4:42 PM EDT2014-09-01 20:42:38 GMT
    Cole Hamels and three Philadelphia Phillies relievers combined to pitch a no-hitter Monday, beating the Atlanta Braves 7-0.
    Cole Hamels and three Philadelphia Phillies relievers combined to pitch a no-hitter Monday, beating the Atlanta Braves 7-0.
Powered by WorldNow

KTBC FOX 7
119 East 10th Street
Austin, TX 78701

Phone: (512) 476-7777
Fax: (512) 495-7001

Didn't find what you were looking for?
All content © Copyright 2000 - 2014 Fox Television Stations, Inc. and Worldnow. All Rights Reserved.
Privacy Policy | New Terms of Service What's new | Ad Choices