Fashion Blog Pages

Saturday, May 7, 2016

Gildan Buying Alstyle Apparel

Gildan Activewear Inc. announced earlier this week that it has signed a definitive agreement to acquire 100% of the equity interest of Alstyle Apparel, LLC and its subsidiaries, which constitute the apparel division of Ennis, Inc., for a total cash purchase price of $110 million.

Alstyle manufactures and markets activewear products such as T-shirts and fleece, the majority of which are sold under the Alstyle brand. Alstyle sells its products to screenprinters, embellishers and mass-marketers largely in the U.S., as well as in Canada and Mexico. Its manufacturing and distribution operations include a large-scale textile manufacturing facility and cut and sew facilities in Mexico, as well as distribution centers located in the United States, Canada, and Mexico.

The acquisition of Alstyle immediately expands Gildan’s penetration in printwear markets in the U.S., Canada and Mexico and broadens and complements Gildan’s position in the Western United States where Alstyle has a strong presence. The acquisition will also allow Gildan to enhance its competitive positioning in the Mexican printwear and retail markets. Further, manufacturing operations in Mexico will allow Gildan to take advantage of preferential trade agreements which provide duty-free access to markets in South America.