HanesBrands Inc. announced plans Wednesday to sell its iconic global Champion brand for between $1.2 billion and $1.5 billion to Authentic Brands Group.
The pairing had been rumored by industry analysts and media sources since Nov. 1 — about six weeks after HanesBrands’ board of directors and executive management said that selling off Champion was an option as part of “a broad range of alternatives to maximize shareholder value.”
Champion apparel sales are in more than 90 countries, with more than 40% of its $2 billion in fiscal 2023 sales hailing from outside North America.
Several media outlets, foremost Women’s Wear Daily (WWD.com), reported in early April that the companies has agreed on Authentic as the buyer, but still were negotiating between HanesBrands’ request for $1.4 billion and Authentic’s $1 billion offer.
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Such a sale — with a projected completion in the second half of 2024 — would be a blow not only financially with Champion representing about $2 billion of HanesBrands’ $5.6 billion in fiscal 2023 sales, but also symbolically as its top activewear brand.
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