Flowers Foods Inc. (NYSE: FLO) is buying bread baking company Dave’s Killer Bread from the founding Dahl Family and Goode Partners LLC for $275 million in cash.
Milwaukie, Oregon-based Dave’s, founded in 1955, is known for making 17 varieties of whole-grain and organic bread. The target is anticipating 2016 sales of up to $170 million. Dave’s will remain an independent of subsidiary of Flowers after the acquisition closes by year’s end. Thomasville, Georgia-based Flowers is funding the acquisition with cash on hand and debt. New York-based Goode Partners acquired a 50 percent stake in Dave’s in January 2013.