As noted the other day, Hostess is seeking lidquidation of its operations rather than trying to emerge out of bankruptcy as a going concern because it could not negotiate the union concessions it said it needed.
But there may be a White Knight on the Horizon, Sun Capital Partners:
Private equity firm Sun Capital Partners wants to buy bankrupt bakery Hostess Brands Inc., Fortune has learned.
The proposal would be to operate Hostess as a going concern, including reopening the shuttered factories and continuing union representation of Hostess workers.
Sun Capital privately expressed interest in acquiring Hostess earlier this year, but the bakery’s creditors chose for an alternate reorganization plan that ultimately failed. Following Friday’s liquidation, Sun reengaged by contacting Hostess advisor Perella Weinberg Partners. It also plans to contact the relevant labor unions.
Approximately 18,000 union jobs would be saved if Hostess remains a going concern.
Here’s the irony. The founder of Sun Capital Partners is the person who hosted the private fundraiser at which Mitt Romney made his infamous 47% statement, Host of Romney party dubbed ‘private equity party boy’
The reported host of a private $50,000-a-plate fundraiser that has come to haunt Mitt Romney this week is a prominent Florida private equity manager who has attracted media attention for partying with the rich and famous.
Marc J. Leder, the co-founder of Sun Capital Partners of Boca Raton, Fla., was named by Mother Jones journalist David Corn Monday night as the host of a Romney fundraiser May 17 that was secretly videotaped by an unidentified attendee. Romney has come under fire for remarks at the event in which he dismissed the “47 percent” of Americans who support Obama as “victims” who are “dependent on government” and “who believe they are entitled to health care, to food, to housing, you name it.”
Leder, who has given nearly $300,000 to Romney and other Republicans this cycle, used part of his fortune to become a co-owner of the Philadelphia 76ers basketball team and has become a fixture of New York tabloid reports, hobnobbing with rap mogul Russell Simmons and other celebrities. The New York Post dubbed him a “private equity party boy.”
There’s a lesson here. One which will not be learned.