Methyl 3-phenylpropanoate (1), after hydrazination into 3-phenylpropanehydrazide (2), was converted into N-arylidene-3-phenylpropane hydrazides (3a-e), which on cyclization with thioglycolic acid yielded N-(4-oxo-2-arylthiazolidin-3-yl)-3-phenylpropanamides (4a-e). All the proposed structures of newly synthesized compounds were in full agreement with the spectral data. Due to para substitution, compound 3a, 4a and 4b were found to be the most potent when evaluated for antibacterial and antifungal activities.