Gildan Activewear and HanesBrands Announce Merger to Form Global Apparel Leader

In a significant move within the Consumer Discretionary sector, Montreal-based Gildan Activewear Inc. has announced a merger with HanesBrands Inc., creating a formidable force in the global basic apparel market. This strategic combination is set to redefine the landscape of the Textiles, Apparel & Luxury Goods industry.

Merger Details

The merger agreement, announced on August 13, 2025, positions Gildan Activewear and HanesBrands as a unified entity poised to lead the market. The deal, valued at approximately $5 billion, was initially reported in discussions earlier in the week, with multiple sources confirming the advanced talks between the two companies.

Market Reaction

Following the announcement, Gildan Activewear’s stock, listed on the Toronto Stock Exchange, closed at CAD 67.65 on August 11, 2025. The company’s market capitalization stands at CAD 10.14 billion, with a price-to-earnings ratio of 14.41. The merger is expected to enhance shareholder value and strengthen the company’s competitive position.

Strategic Implications

Gildan Activewear, known for its undecorated blank activewear, will benefit from HanesBrands’ extensive portfolio of branded apparel. This merger is anticipated to expand Gildan’s global reach and diversify its product offerings, catering to a broader customer base.

Leadership and Vision

The combined entity aims to leverage the strengths of both companies to innovate and lead in the basic apparel sector. The merger is expected to result in operational synergies, cost efficiencies, and enhanced market penetration.

Conclusion

As the merger progresses, stakeholders are optimistic about the potential for growth and innovation. The new global leader in basic apparel is set to make a significant impact on the industry, promising exciting developments for consumers and investors alike. For more information, stakeholders can visit Gildan Activewear’s website at www.gildanbrands.com .