A global leader in iconic apparel, HanesBrands Inc has successfully sold the intellectual property and certain operating assets of its global brand ‘Champion’ to the Authentic Brands Group (ABG).
According to Steve Bratspies, this significant move helps the company streamline and strengthen its operations. It also enables HanesBrands reduce approximately $1 billion in debt by the H2, 2024.
With the sale of the Champion brand, HanesBrands continues to focus on its core businesses and optimising its product offerings. Combined with ongoing financial strategies, this sale positions the company for a more efficient, profitable future, delivering value to shareholders and enhancing its market position in the apparel industry. The company also aims to deliver strong shareholder returns through a targeted revenue growth, improved margins, double-digit earnings per share growth, and continued debt reduction, he adds.
This transaction also aligns with ABG's extensive portfolio of lifestyle and fashion brands, marking a new phase for Champion, which has a long history of success as a sports and athleisure brand. The group is expected to leverage its expertise in brand development and licensing to further expand Champion’s global presence and reach new consumer segments.
