Apollo, Metropolous Uncontested In Bid For Twinkies

Mar 12 2013 | 12:59pm ET

Private equity firms Apollo Global Management and Metropoulos & Co. will win the auction for most of Hostess Brands' iconic snack-cakes business, including the Twinkie—by default.

The two submitted the only bid for the business by yesterday's 5 p.m. deadline, the New York Post reports. The firms offered $410 million for the business, which also includes CupCakes, Ding Dongs, Ho Hos, Dolly Madison and Donettes.

The deal is good news for snack-cake lovers, who could see their favorite treats back in stores by September. But it isn't good for the 18,000 workers who lost their jobs when Hostess filed for bankruptcy in November: Apollo plans to outsource distribution and will not rehire all of the laid-off bakers.

For a while, it appeared that Apollo and Metropoulos would have some competition for the Hostess brands. Silver Point Capital, a Hostess creditor, had expressed interest in making a bid, and hedge fund Hurst Capital had cobbled together several private equity firms to explore an offer. In addition, Mexican baking company Grupo Bimbo considered taking part in tomorrow's auction.


In Depth

Q&A: Portfolio Advisors' Brian Murphy On The Advantages of A Private Markets Platform

Jan 2 2018 | 11:05am ET

Most private markets firms reference their platforms as a source of competitive...

Lifestyle

CFA Institute To Add Computer Science To Exam Curriculum

May 24 2017 | 9:25pm ET

Starting in 2019, financial industry executives sitting for the coveted Chartered...

Guest Contributor

Steinbrugge: The Top Hedge Fund Industry Trends for 2018

Jan 2 2018 | 12:22pm ET

Each year, Don Steinbrugge’s Agecroft Partners compiles the insights gained...

 

FINalternatives Trending

From the current issue of