US: Hostess sale will "most likely" lead to break up
Hostess likely to be broken up
The sale of Hostess Brands will most likely result in a break-up of the company, a spokesperson for the group told just-food.
The maker of Wonder Bread and Twinkies wound down its operations and entered administration in November, when management insisted a national strike "crippled" the already struggling company.
The group has begun a stalking horse process and plans to name between four and six stalking horse bidders by the middle of this month, the spokesperson told just-food.
Hostess confirmed it has received "hundreds" of expressions of interest in its iconic brands and assets.
According to reports, Bimbo USA, the US unit of Mexico's Grupo Bimbo, has launched a bid to take over the business in its entirety.
Although Hostess declined to comment on the specifics of any single bid, the spokesperson did reveal the most likely outcome of the sale process will see the Hostess business broken up and sold off piece-by-piece.
"The most likely scenario is that a number of buyers will each purchase portions of the company. Theoretically, however, it is possible that everything could go to one bidder," the spokesperson said.
US breakfast cereal group Post Holdings kicks off a relatively quieter week of results with its half-year numbers on Monday. On Tuesday, meat giants Marfig and JBS will report on how it fared in the f...
UK private-equity firm Actis has acquired a 30% stake in Egypt-based snack food group Edita Food Industries....
- ConAgra Foods: what could happen next? - analysis
- Why Mars rice plan not just crop-ticking exercise
- Greencore's food-to-go focus paying dividends
- How Danone aims to meet its 2020 objectives
- What could be benefit of US approval of GM salmon?
- Hovis plans cuts amid anxiety over UK bread demand
- Aryzta regional CEO steps down
- "Serious" suitors lined up for Chicken of The Sea
- Unilever sets 2030 carbon positive goal
- PepsiCo to expand Frito-Lay plant in US