Gores Group to acquire Hostess, take company public
July 06, 2016
The Gores Group has agreed to use a special purpose acquisition company to buy Hostess and take the snack & dessert company public at an anticipated valuation of $2.3 billion. The acquisition company will supply $375 million to the deal, with additional Gores investors committing $350 million via a private placement. The current owners of Hostess—including Apollo Global Management, which bought the company out of bankruptcy in 2013—will own a 42% stake in the holding company upon the completion of the transaction.