Egypt's foodmaker Edita signs $12 mln contracts with Hostess Brands

Egyptian foodmaker Edita signed two contacts worth $12 million with U.S.-based Hostess Brands LLC to buy the manufacturing rights of 11 new products and expand distribution, it said in a statement on Monday.

Hostess, is one of the largest wholesale bakers and distributors of breads and snack cakes in the United States and makes the well-known Twinkies and Ding Dongs snacks. It was bought by private equity groups in 2013.

Edita said the two contracts, signed on April 16, will be funded through a loan of 90 million Egyptian pounds ($11.8 million) over seven years from the National Bank of Kuwait .

One of the contracts involved manufacturing rights for a series of products. The other contract will enable Edita to extend its distribution of some goods it already has rights for to 12 additional countries, it said.