Gildan Activewear is set to acquire HanesBrands for $2.2 billion in a deal comprising 87% stock and 13% cash per share, with the cash portion expected to be around $290 million. The acquisition implies an enterprise value of $4.4 billion for HanesBrands.
Gildan CEO Glenn Chamandy expressed optimism about the deal, stating it will double Gildan’s revenue and create a significant scale advantage. However, the merger may raise antitrust concerns due to both companies’ presence in North American underwear markets.
Analysts see potential synergies between the two companies, with HanesBrands’ strong brand portfolio complementing Gildan’s domestic printwear business. Despite this, regulators may scrutinize the deal due to overlapping distribution channels and manufacturing facilities.
HanesBrands has been an independent company since 2006, marked by excessive debt and underinvestment in operations. The acquisition comes as HanesBrands focuses on regaining market share in the underwear category.
Gildan’s activewear segment experienced a 12% growth, while its hosiery and underwear segment declined 23%. The deal is expected to close in late 2025 or early 2026.
Source: https://www.fashiondive.com/news/gildan-to-acquire-hanesbrands/757553