Twinkies Could Return By Summer After Sale To Buyout Firm
Twinkies could return by summer after Hostess moved ahead with plans to sell the cream-filled snacks. The snacks will be sold along with Ding Dongs and Ho Hos.
Hostess caused a stir last year when the company abruptly closed its doors and filed for bankruptcy. The decision prompted lovers of the company’s cream-filled concoctions to cause a stampede as they fought over boxes of Twinkies.
Hostess has picked a $410 million joint offer from Metropoulos & Co. and Apollo Global Management in the sale of its confection cakes. The offer was initially picked as a starting amount for an auction, but no other qualified bids were submitted.
The two companies were thrilled about the purchase of the sweet snacks and Metropoulos & Co. CEO and founder Dean Metropoulos released a statement saying the firm is looking forward to having Twinkies ”back on the shelf by this summer.”
The sale is not yet complete, however. It must be approved by the US Bankruptcy Court first. The hearing to approve the sale of the Hostess and Dolly Madison cake brands will be heard on March 19.
Along with bringing back what he called “America’s favorite snack,” Metropoulos added that the companies were “pleased to be able to provide employment opportunities for many people in cities around America.” But the future employment of those left jobless when Hostess shut its doors remains in question.
A rumor points to Apollo outsourcing distribution to third-parties, as well as producing the Hostess snacks in existing bakeries instead of those shuttered last year. About 18,000 workers were put out of a job when Hostess closed. The proposed transaction will include the two brands, as well as five bakeries and some equipment.
Along with canceling its Twinkies auction, Hostess has also canceled an auction for its Wonder and other bread brands. They will be sold to Flower Foods, which is based in Thomasville, Georgia, pending final approval on March 19.
Are you glad that Twinkies could return by summer?