Flowers Foods, Inc., based in Thomasville, GA, is considered
a likely bidder for Hostess Brands, Inc., which plans to start liquidating
itself after another bankruptcy and a strike by union workers, The Wall Street
Journal reports. If Flower Foods buys out Hostess, that will save the 442 jobs
of those employed by Hostess at their Colombus, GA facility.
Flowers Foods (NYSE: FLO), the nation’s second-largest
baker, recently renegotiated lending terms that may let it tap additional cash
to make a run at Hostess, though Flowers hasn’t stated an intention to do so,
the report says. Flowers recently reported its third-quarter profit was up 0.6
percent to $31.2 million. It also recently announced it will buy certain assets
and trademark licenses from BBU Inc., a unit of Grupo Bimbo, for an undisclosed
sum. Flowers Foods bought Tasty Baking Co. in 2011 and Lepage Bakeries Inc. in
2012.
