The sale of Wonder Bread could happen very soon, various sources say. Wonder Bread is a literal slice of Americana and an iconic brand with its signature polka dot wrapper.
The Associated Press reported that a person who knows the situation says that Flowers Foods has bid to buy Wonder Bread as well as a few other bread brands. Hostess announced in November that it was going out of business so they haven't been making any of their products since November.
The bid is for $360 million from Flowers and it also includes the following bread brands: Nature's Pride, Butternut, Home Pride and Merita, reported The AP.
The source said to The AP, that another auction will be held on Thursday for a $30 million bid for Beefsteak by Flowers. The source, which asked to be anonymous said that a a competing offer from Mexico's Grupo Bimbo was also made for Beefsteak. Beefsteak makes Thomas' English muffins and Entenmann's cakes.
Flowers are the makers of Nature's Own bread and Tastykake snacks. Reuters reported that Hostess was set to run the auction on Thursday for the brands but since Flowers was the only bid, the auction for this won't need to take place, other than the one for Beefsteak brand.
Bimbo spokeswoman Monica Breton Salazar said about the auction on Thursday, "We'll just have to see how that plays out."
"Flowers, founded in 1919 in Thomasville, Georgia, has grown over the years through a string of acquisitions. It was the one-time owner of well-known names including Keebler Foods and Mrs. Smith's pies," reported Reuters.
Hostess has plans to have two more auctions next month. One for their Hostess snack cakes brand which includes the iconic Twinkies and Dolly Madison. Reuters reported that Apollo Global Management LLC andd C. Dean Metropoulos & Co. set the bidding at $410 million.
They will have another auction for the business Drake's cake which has been bid on for $27.5 million by Little Debbie snack cakes.
"Hostess obtained permission late last year to wind down its business after a strike by its bakers union crippled the company. The sale of its brands and assets is being run by Joshua Scherer of Perella Weinberg Partners," reported Reuters.
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