Gildan announced today (January 10, 2017) that it has won the auction to buy the American Apparel brand and certain assets. The acquisition is subject to Bankruptcy Court approval on 12 January 2017, and is expected to be completed by early February. Gildan stated that it will separately purchase inventory from American Apparel to ensure a “seamless supply of goods to the printwear channel”. Gildan will not be buying any of the brand’s 110 retail stores.
“We are excited to be moving forward with this acquisition. The American Apparel brand will be a strong complementary addition to our growing brand portfolio,” said Glenn Chamandy, president and CEO of Gildan. “We see strong potential to grow American Apparel sales by leveraging our extensive printwear distribution networks in North America and internationally to drive further market share penetration in the fashion basics segment of these markets.”
Amazon and Forever 21 had been reported by Images last week as also being interested in buying the company.
American Apparel voluntarily filed for Chapter 11 bankruptcy protection in November last year.
www.gildan.com
www.americanapparelwholesale.com/eu
