Hanesbrands Acquisition Of Alternative Apparel For $60 Million

According to the world clothing shoes and hats net, the United States

group

Inc. (NYSE:HBI) announced $60 million for casual wear.

Alternative Apparel.

Alternative Apparel, founded in 1995, uses men's and women's T-shirts, sweaters and sports pants in the basic style of making and selling eco friendly sustainable production and environmentally friendly fabrics.

After the paction, Hanesbrands Inc. will take over the production process of Alternative Apparel. The group's chief communications officer, Matt Hall, told reporters that the group still had no specific production plan and neither side had decided on the integration process.

Matt Hall stressed that they did not want to change the brand DNA built by Alternative Apparel over the years, for example, will continue to use sustainable and recycled fabrics.

Evan Toporek, who has been the CEO of Alternative Apparel since 2011, will remain in office. About 150 employees of the brand, Evan Toporek said that every company has the possibility of layoffs, but now they have not considered it.

Alternative Apparel store

Hanesbrands Inc. said Alternative Apparel, which has 3 separate stores, will sell about $70 million this year.

Wells Fargo & Co. Ike Boruchow, an analyst at Wells Fargo Bank, expects Alternative Apparel in the four quarter to contribute 20 million dollars to Hanesbrands Inc..

Matt Hall indicates that Hanesbrands Inc. is still in the "acquisition mode", but he refuses to disclose specific targets or special markets.

He also pointed out that in the past four years, the group has spent $2 billion 600 million to acquire Maidenform Brands Inc., European underwear manufacturer DBApparel, American uniform manufacturer Knights Holdco Inc., the European brand of its sports brand Champion, and the brand of Pacific Brands Ltd., the largest underwear and pillow manufacturer in Australia. The supply chain of these businesses is of great benefit to the group.

Hanesbrands Inc. also disclosed its initial performance in the three quarter - net sales of about 1 billion 800 million yuan, EPS of about 0.55 US dollars, and adjusted EPS of about 0.60 US dollars - all of which have reached the expectations of the group and the market under the impetus of the growth of the international market.

CEO Gerald W. Evans Jr. said in the announcement that the group also achieved the goal of restoring organic growth.

However, the group did not reiterate the prospect of net sales of 64.5-65.5 billion and operating profit of 8.45-8.95 billion for the whole year. Investors are worried about this.

Hanesbrands Inc. (NYSE:HBI) has opened 3.5% higher after the 17 day trading, but the whole day narrowed to 0.03%.

The stock increased by about 7% in 2017.

More interesting reports, please pay attention to the world clothing shoes and hats net.