Twinkies, Ding Dongs and Wonder Bread may soon be back in stores after a bankruptcy court judge on Tuesday approved sales of several iconic brands that had been owned by the failed Hostess Brands Inc. Buyout firms Apollo Global Management and Metropoulos & Co teamed up for Hostess’s snack cake brands, paying $410 million for Twinkies, Ho Hos, Ding Dongs and Donnettes. Flowers Food Inc, which makes Tastykakes snacks, picked up most of Hostess’s bread business, including its Wonder and Nature’s Pride brands for $360 million. The No. 2 U.S. baking company also bought 20 bakeries and other operations. [Tribune]
Now that the Apollo and Metropolous & Co. have officially bought the Twinkie—in an auction that drew precisely one bid, theirs—the private equity firms have figured out how to turn around a company that other private equity firms couldn’t/ran into the ground.
First, they’re not going to rehire everyone. Second, they’re going to outsource distribution. Lastly, and most importantly, they’re going to hire Zach Galifianakis or Will Ferrell. Read more »
So it looks like Apollo Global Management and Metropolous & Co. will be bringing back the Twinkie. And they’re willing to pay almost as much for that right as Hostess said it was worth—all of it—when it filed for bankruptcy.
The private equity firms bid $410 million for most of Hostess’ cakes, and certainly all of the important ones: Twinkies, Ding Dongs, CupCakes and Ho Hos, as well as some things called Donettes. (I’ve never heard of the latter. Were they available in the greater New York area during the late 80s and early 90s?) Read more »
Apparently Twinkie-lovers worldwide are clamoring for a piece of this. Read more »