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Strategies & Market Trends : Speculating in Takeover Targets -- Ignore unavailable to you. Want to Upgrade?

To: richardred who wrote (3231)	11/23/2012 12:28:49 PM
From: Jack Hartmann	Read Replies (1) \| Respond to of 7239

I have been to the plant in IL and they were poorly run. I see alot of value in the brand and someone it going to grab it at a deal. Happy Holidays Richard!

To: richardred who wrote (3231)	12/3/2019 1:13:43 PM
From: richardred	1 Recommendation Recommended By E_K_S Read Replies (2) \| Respond to of 7239

Hostess Brands to acquire Canadian cookie company Voortman for US$320m December 3, 2019 Food Business Africa USA – Hostess Brands has entered into an agreement to acquire Voortman, a Canadian maker of cookies and wafers, from Swander Pace Capital for approximately US$320 million (C$425 million). Hostess believes that the acquisition of Voortnan will create a larger and more diversified sweet snacking company while expanding product offerings, manufacturing capabilities and providing significant strategic and financial benefits. By adding the Voortman brand, Hostess expects to compete with its uniquely positioned and differentiated products in the large and growing US$8.4 billion cookie category and have greater growth opportunities provided by a more diverse portfolio of brands and products. The twinkies, donettes and ding dongs brands owner believes that the combined company will realize additional benefits of scale through sharing established, efficient infrastructure and strengthening of collaborative retail partnerships in the US and Canada. Hostess expects the transaction to deliver on key growth opportunities while achieving at least US$15 million in annual run-rate cost synergies within 12 – 18 months. Cost synergies have been identified primarily from leveraging the Hostess operating model including procurement, operations, and logistics, based on which Hostess believes there is opportunity to continue investing in the Voortman business and expand margins. Andy Callahan, Hostess Brands CEO said, “We believe the acquisition of Voortman will create significant value for all of our stakeholders. “We expect the combination of Hostess’ lean, proven operating model and Voortman’s brand and adjacent category position, will result in meaningful cost savings and growth opportunities. “This acquisition fits well into our long-term growth strategy and we are confident that Voortman will be a great addition to our existing sweet baked goods snacking and breakfast portfolio.” Douglas MacFarlane, CEO of Voortman commented: “The team at Voortman is excited about becoming part of the Hostess portfolio and the prospects for further dramatic growth of the Voortman brand behind the exceptional capabilities of the Hostess organization.” The transaction is expected to close in early January 2020, subject to customary closing conditions. Hostess expects the transaction to provide approximately US$20 million of incremental adjusted EBITDA in 2020, growing to US$40 to US$50 million by 2022. foodbusinessafrica.com