THOMASVILLE, Ga. — Flowers Foods Inc., which makes baked goods such as Nature’s Own bread and Tastykake treats, announced Friday that it is increasing its quarterly dividend by nearly 7 percent.
It plans to pay a dividend of 16 cents per share on June 29 to shareholders of record as of June 15. This is up from its most recent dividend of 15 cents per share.
Flower Foods CEO and Chairman of the Board George Deese said the board is confident in the company’s future performance and it is in a position to reward shareholders in its current success.
The dividend announcement comes a day after Flowers Foods said it has agreed to buy Lepage Bakeries Inc. for $370 million in cash and stock, expanding its presence in New England and New York.
Lepage’s lineup of regional brands include Country Kitchen and Barowsky’s, along with a broader variety of breads, buns and rolls. Lepage is based in Lewiston, Maine. Flowers Foods is based in Thomasville, Ga.
Flowers Foods shares rose 32 cents, or 1.5 percent, to $22.34 in morning trading Friday. They are trading near the high end of their 52-week range of $17.79 to $23.13.