Necco Candy Company shutters factory

[giantsfan2016]

The Necco Candy Company has shuttered its factory. They make NECCO Wafers and those candy hearts with sayings on them for Valentines Day

https://money.cnn.com/2018/07/26/news/companies/necco-shutdown/index.html

[TheFugitive]

They acquired Clark Candy Co. here in Pittsburgh years ago.
I guess this means the end for Clark Bars and Zagnut too.    :'(

[BillyGr]

Note it says that the group that bought them from bankruptcy has sold them to another company.  Could simply be that that other company plans to make the items at another facility they already own.

[retailisking]

Note it says that the group that bought them from bankruptcy has sold them to another company.  Could simply be that that other company plans to make the items at another facility they already own.

How much of Necco's product line will survive another sale is anyone's guess, but I imagine their flagship products will make it. One wonders why both buyers of Necco ended up trying to negotiate a lower price for the company after securing the winning bid.

[TheFugitive]

My guess (and it is just a guess):

• A venture fund bought the company for a bargain price, probably with some state and local government assistance to try and keep the jobs there.
  
  The venture fund then very cynically turned around and sold the company at a profit
  to someone else who will start making the product in Mexico or some other low-cost location.

Sadly it has happened before.

[retailisking]

The confectionery business is tough. Nestle called it quits in the US, which should tell you something. The smaller manufacturers have it even tougher.