Feb 28 Mexico's Grupo Bimbo won the
Beefsteak bread brand in an auction on Thursday from bankrupt
company Hostess Brands Inc, after outbidding rival
Flowers Foods Inc with an offer for $31.9 million,
The bid, by the world's largest bread maker, is still
subject to approval by a U.S. bankruptcy court.
Hostess also confirmed on Thursday that Flowers, maker of
Tastykake snacks, is set to buy other Hostess bread brands,
including Wonder, Butternut and Home Pride for $360 million.
Hostess received permission late last year from a U.S.
bankruptcy court to wind down its business and liquidate assets
after 82 years, following a bakery union strike that paralyzed
Bimbo's U.S. brands include Entenmann's cakes, Arnold bread
and Thomas' English Muffins. The Mexican company was also seen
as a candidate to bid for Hostess's snack cake brands including
Twinkies, sources told Reuters previously. That asset received
an initial bid of $410 million from Apollo Global Management LLC
and C. Dean Metropoulos & Co and will go to auction next