Gildan Activewear Acquires HanesBrands in $2.2 Billion Deal

Gildan Activewear is set to acquire HanesBrands in a substantial USD 2.2 billion deal, a strategic move giving the apparel giant access to renowned brands such as Hanes and Maidenform.

The transaction, valued at approximately USD 4.4 billion when accounting for debt, offers HanesBrands shareholders a mix of Gildan stock and cash. Specifically, shareholders will receive 0.102 common shares of Gildan and 80 cents per share in cash, resulting in HanesBrands shareholders owning around 19.9 percent of Gildan stock post-closure.

This acquisition positions Gildan to leverage a stronger financial and operational base, promising robust growth, innovation, and expansive market reach according to HanesBrands chairman, Bill Simon. Gildan's headquarters will remain in Montreal, while maintaining a significant presence in Winston-Salem. A strategic review of options for HanesBrands Australia suggests potential sale considerations. The deal awaits shareholder approval and is expected to finalize later this or early next year.

(With inputs from agencies.)