Hostess Bidders Include Walmart, Kroger
Can’t stop thinking about all those Hostess goodies that have been picked clean from the shelves?
Twinkie fans might soon have reason to rejoice if all goes well for some big-name bidders.
According to Newsday, assets being sold by Hostess Brands, Inc have received bids from retail giants Walmart and Kroger. The companies are two of approximately two dozen interested parties taking part in the bidding process. Hostess, makers of Wonder bread, Ho Hos, Hostess CupCakes, and Ding Dongs, are seeing interest in both whole and partial acquirement of assets.
A report by Bloomberg states the following:
“[Hostess] said last month that it would liquidate and fire more than 18,000 workers after failing to reach agreement with its striking bakers’ union on concessions to help it emerge from its second bankruptcy. Changes in American diets led to years of declining sales at Hostess, while ingredient costs and labor expenses climbed.”
Bankrupt after 82 years of business, Hostess received court permission last month to begin selling off its assets. Proceeds from the sale will be used toward repaying the company’s creditors. According to The Huffington Post, the company has around $900 million of secured debt with administrative claims in the vicinity of $150 million.
Fans across the world were saddened by the loss of the company’s signature treats. There were even online auctions for Hostess products scooped up by consumers as retailers sold the last of their stock.
Most of the key parties involved in the current bidding have declined to comment. Walmart, Kroger, and Hostess are all keeping quiet about the possible sale.
Would you like to see a company like Walmart or Kroger win their bid for Hostess? What is your favorite Hostess treat?