Nabisco to Buy Candy Maker Favorite Brands

Nabisco Holdings Corp. agreed to buy struggling Favorite Brands International Inc., maker of Jet Puffed marshmallows and Trolli and Farley’s candies, for $475 million in cash. Bannockburn, Ill.-based Favorite Brands, which has annual sales of about $700 million, filed in March for Chapter 11 bankruptcy protection. The deal is subject to approval by the U.S. Bankruptcy Court and to regulatory review. Meanwhile, Favorite Brands said it would welcome other offers. Favorite Brands has 11 plants, including one in Los Angeles, and employs about 3,600 people. Shares in Parsippany, N.J.-based Nabisco shares closed down 56 cents at $34.44 on the NYSE.