Bakery company Flowers Foods Inc plans to buy Tasty Baking Co for about $34.4 million in an all-cash deal that bails out the debt-laden maker of Tastykakes. Flowers Foods, which owns the Nature's Own brand, will pay $4 a share, a premium of 148 percent to Tasty Baking's closing share price on Friday. In January, Philadelphia, Pennsylvania-based Tasty Baking said it was looking at options, including a possible sale of the company after facing a liquidity crunch. Its shares have dived about 75 percent this year. Tasty Baking, which makes cakes, donuts, pretzels and brownies under brands such as Tastykake, Kandy Kakes and Krimpets, is a near 100-year-old company known for its advertising jingle "Nobody bakes a cake as tasty as a Tastykake."
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