Flowers Foods Inc., Thomasville, Ga., is set to buy Wonder Bread and some other brands owned by Hostess Brands Inc. for $360 million, according to Reuters.
Flowers Foods has acquired the perpetual, exclusive and royalty-free licenses to the Sara Lee and Earthgrains brands for sliced breads, buns and rolls in California from BBU Inc.
Thomasville, Ga.-based Flowers Foods Inc. has signed two asset purchase agreements with Hostess Brands Inc., Irving, Texas, for numerous Hostess bread brands, bakeries and depots.
Grupo Bimbo SAB, Mexico City, and Flowers Foods, Thomasville, Ga., are emerging as the two of the bidders for Wonder Bread and other Hostess bread brands as Irving, Texas-based Hostess Brands Inc. tries to sell off its assets under bankruptcy-court oversight.
The maker of Tastykake and Nature's Own baked goods may be a likely bidder for some of the assets owned by Hostess, which could help it expand geographically.
The U.S. Department of Justice has approved an agreement under which Flowers Foods Inc. will acquire certain assets and trademark licenses from BBU Inc., a subsidiary of Grupo Bimbo S.A. B. de C.V.