Gildan Acquires Anvil Knitwear
Today, supplier Gildan Activewear, Inc. (UPIC: GILDA3810), headquartered in Montréal, Québec, announced that it has acquired Anvil Holdings, Inc., which participates in the promotional products market under the Anvil Knitwear (UPIC: ANVIL289) brand.
In the transaction, Gildan acquired 100 percent of Anvil for a purchase price of approximately $88 million. In the year ending January 28, 2012, Anvil generated earnings of $17 million on sales revenues of $200 million. Gildan expects significant synergies in integrating Anvil’s products and distribution channels, in the consolidation of raw material purchasing, the elimination of duplicate functions and other areas.
Anvil President and CEO Anthony Corsano will join the senior management team within Gildan’s Branded Apparel division, where he will continue Anvil’s strategy of growing its business of providing products for non-retailer brands.
“We believe that the acquisition of Anvil and the combination of the compatible cultures and strengths of our two companies will position Gildan to further enhance our product offering for our printwear customers and build further on our leadership position in this market,” says Glenn Chamandy, president and CEO of Gildan. “In addition, the projected economic returns from the acquisition are highly attractive and are expected to create further value for our shareholders.”
Read more about Gildan’s acquisition of Anvil in Tuesday’s PPB Newslink.