Monday, 20 October 2014
Last updated 5 min ago
Nov 21 2012 | 11:01am ET
Hostess Brands' hedge fund and private equity owners will seek permission to shut the company down after failing to strike a deal with a striking union yesterday.
Hostess, which filed for bankruptcy on Friday, first asked for approval to lay off its more than 18,000 employees and liquidate on Monday, but U.S. Bankruptcy Judge Robert Drain pushed for a last-ditch mediation session yesterday, with himself as mediator. But Hostess, which is owned by private equity firm Ripplewood Holdings and features hedge funds Monarch Alternative Capital and Silver Lake Partners as lead creditors, said the session was "unsuccessful."
Hostess, which makes the iconic Twinkie and dozens of other products, including Wonder Bread, blamed the Bakery, Confectionery, Tobacco Workers and Grain Millers International Union for the decision to liquidate, arguing that it was crippled by the strike, called earlier this month. The union imposed the work-stoppage after it refused to accept Hostess' "last-and-best" contract offer.
With Drain's approval, Hostess can begin to sell itself, either whole or in pieces. The company may well wind up with another private equity owner; several firms, including Metropoulos & Co. and Sun Capital Partners, are reportedly interested.
Sep 22 2014 | 4:15pm ET
"I tell people that everybody likes good news and so if you have good performance that’s wonderful,” explains Mike McKitish of Peddie School's endowment, “but it’s the people that want to talk about the bad news or where they drifted and how they came back and how they stayed to their discipline…” that he wants to hear from. Read more…
Sep 30 2014 | 9:29am ET
The crisp Autumnal days of October are upon us, and so are a few of the hedge fund industry’s favorite charitable events. If you have never been to Rocktoberfest, well, you are missing out. And for a quieter evening of sipping and socializing, stop by HFC’s Wine Soiree. Read more…
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