Gildan Activewear Completes $88 Million Acquisition of American Apparel AssetsFebruary 8, 2017
A subsidiary of S&C client Gildan Activewear Inc. completed its previously announced acquisition of the intellectual property and certain inventory and manufacturing assets of American Apparel, LLC, for a base purchase price of $88 million.
On November 13, Gildan entered into a purchase agreement to acquire the intellectual property and certain other assets of American Apparel as an initial bid in a Bankruptcy Court-supervised auction. Shortly thereafter, American Apparel and certain of its subsidiaries initiated Chapter 11 proceedings. On January 10, Gildan emerged as the winning bidder in an auction for the American Apparel assets.
Gildan is a leading supplier of quality branded basic family apparel, including T-shirts, fleece, sport shirts, underwear, socks, hosiery and shapewear. The company sells its products under a diversified portfolio of company-owned brands, including the Gildan, Gold Toe and Anvil brands and brand extensions, as well as the Secret, Silks and Therapy Plus brands. Gildan also has the U.S. sock license for Under Armour, and licenses for Mossy Oak and New Balance brands.
The S&C team representing Gildan was led by Brian Hamilton and Michael Torkin, along with Daniel Belke, Benjamin Goodchild, Mimi Wu and Courtland Morrice. Nader Mousavi, Joshua Steinberger and Raffaele DeMarco advised on intellectual property matters; Eric Queen and Clea McClellan advised on Hart-Scott-Rodino matters; Davis Wang and Andrew Motten advised on tax matters; Michael Snypes and Douglas Sarro advised on employment matters; and Matthew Brennan advised on environmental matters.