Dive Summary:
- Feb. 28 is a the date Hostess has set to sell off its many branded bread products and extensive infrastructure.
- Hostess's other assets, such as their snack foods and Drake's Snack Cakes, are currently under negotiation with no formal auction date set.
- Flowers Foods, the stalking horse bidder, has also agreed to a cut in their breakup fee, from 3.5% to 3% of $390 million, if they get outbid on the 28th.
From the article:
Speaking to FoodNavigatorUSA Friday, a spokesman for Texasbased Hostess said its attorney Heather
Lennox “reported to the judge that an agreement to sell certain additional bread brands and another agreement to
sell the Drake’s business will be submitted next week”.
He added: “The company is also in advanced discussions with a number of parties for the remainder of the snack
cake business [Twinkies, Ding Dongs, Dolly Madison etc] and expects to file an agreement in the near term.”
