HanesBrands Completes Sale of Global Champion Business to Authentic Brands Group
September 30 2024 - 4:05PM
Business Wire
HanesBrands Inc. (NYSE: HBI), a global leader in iconic apparel
brands, today announced that it has completed the sale of the
intellectual property and certain operating assets of the Company’s
global Champion business to Authentic Brands Group
(“Authentic”).
“Today marks a major milestone on our journey to strengthen and
simplify our business and is the culmination of a significant team
effort to position HanesBrands on the optimal path for the future,”
said Steve Bratspies, CEO. “With the successful completion of this
transaction, combined with our internal cash generation, we expect
to pay down approximately $1 billion of debt in the second half of
2024. Looking ahead, we believe we are well-positioned to generate
strong shareholder returns over the next several years through
topline growth, margin expansion, double-digit earnings per share
growth, and further deleveraging of our balance sheet.”
Mr. Bratspies concluded, “I’d like to express my gratitude to
the global Champion team for their contributions. We wish them well
as the Champion brand writes the next chapter of its storied
journey.”
The Company is providing additional details on a Form 8-K that
has been filed with the U.S. Securities and Exchange Commission and
is available on the Company’s investor relations website.
Advisors
Goldman Sachs & Co. LLC and Evercore are serving as
financial advisors to HanesBrands, and Kirkland & Ellis LLP and
Jones Day are serving as its legal advisors.
Cautionary Statement Concerning Forward-Looking
Statements
This news release contains certain information that may
constitute forward-looking statements, as defined under U.S.
federal securities laws. Forward-looking statements include all
statements that do not relate solely to historical or current
facts, and can generally be identified by the use of words such as
“may,” “believe,” “could,” “will,” “expect,” “outlook,”
“potential,” “project,” “estimate,” “future,” “intend,”
“anticipate,” “plan,” “continue” or similar expressions, including
statements herein regarding the expected benefits and financial
impact of the sale of the global Champion business, including the
use of proceeds therefrom for debt reduction. However, the absence
of these words or similar expressions does not mean that a
statement is not forward-looking. All statements with respect to
our intent, belief and current expectations about our strategic
direction, prospects and future results are forward-looking
statements and are subject to risks and uncertainties that could
cause actual results to differ materially from those implied or
expressed by such statements. These risks and uncertainties
include, but are not limited to, such things as, our ability to
execute, and realize benefits, successfully, or at all, from the
completed sale of the global Champion business; our ability to
successfully implement our strategic plans, including our supply
chain restructuring and consolidation and other cost savings
initiatives; trends associated with our business; the rapidly
changing retail environment and the level of consumer demand; the
effects of any geopolitical conflicts (including the ongoing
Russia-Ukraine conflict and Middle East conflicts) or public health
emergencies or severe global health crises, including effects on
consumer spending, global supply chains, critical supply routes and
the financial markets; our ability to deleverage on the anticipated
time frame or at all, which could negatively impact our ability to
satisfy the financial covenants in our Credit Agreement or other
contractual arrangements; any inadequacy, interruption, integration
failure or security failure with respect to our information
technology; future intangible assets or goodwill impairment due to
changes in our business, market conditions, or other factors,
including significant fluctuations in foreign exchange rates;
legal, regulatory, political and economic risks related to our
international operations; our ability to effectively manage our
complex international tax structure; our future financial
performance; and other risks identified from time to time in our
most recent Securities and Exchange Commission reports, including
our annual report on Form 10-K and quarterly reports on Form 10-Q.
Since it is not possible to predict or identify all of the risks,
uncertainties and other factors that may affect future results, the
above list should not be considered a complete list. Any
forward-looking statement speaks only as of the date on which such
statement is made, and HanesBrands undertakes no obligation to
update or revise any forward-looking statement, whether as a result
of new information, future events or otherwise, other than as
required by law.
About HanesBrands
HanesBrands (NYSE: HBI) is a global leader in manufacturing
basics and Innerwear brands that are synonymous with comfort,
quality, and value, and have been trusted by consumers around the
world for generations. Among the company’s iconic brands are Hanes,
the leading basic apparel brand in the U.S.; Bonds, an Australian
staple since 1915 that is setting new standards for design and
innovation; Maidenform, America’s number one shapewear brand; and
Bali, Americas number one national bra brand in the U.S.
HanesBrands owns the majority of its worldwide manufacturing
facilities and has built a strong reputation for workplace quality
and ethical business practices. The company, a longtime leader in
sustainability, has set 2030 goals to improve the lives of people,
protect the planet and produce sustainable products.
View source
version on businesswire.com: https://www.businesswire.com/news/home/20240930097949/en/
News Media, contact: Nicole Ducouer, nicole.ducouer@hanes.com
Analysts and Investors, contact: T.C. Robillard,
tc.robillard@hanes.com
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