Flowers Foods Inc on Friday said it has agreed to purchase Wonder and other well-known bread brands from Hostess Brands Inc for $390 million, as part of the latter company's bankruptcy reorganization.The Thomasville, Georgia-based company said it agreed to pay $360 million for the Wonder, Butternut, Home Pride, Merita and Nature's Pride brands, as well as 20 bakeries and 38 depots.It also entered a second contract where it agreed to pay $30 million for the Beefsteak brand.Flowers already owns brands such as Cobblestone Mill, Nature's Own and Tastykake. It said it expects the purchases to add to earnings in 2013, and that it would finance them with cash on hand plus debt.
Flowers Foods, Inc. (Flowers Foods) is a producer and marketer of bakery products in the United States. Shares of FLO fell by 0.2% or $-0.05/share to $24.83. In the past year, the shares have traded as low as $18.46 and as high as $26.10. On average, 882834 shares of FLO exchange hands on a given day and today's volume is recorded at 598038.
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