Authentic Brands Group, which owns more than 50 global brands including Reebok, Ted Baker, Hunter and Forever 21, announced today (5 June) that it has signed a binding agreement to purchase Champion from US clothing company HanesBrands.
The deal is valued at $1.2bn (£940m) and could reach $1.5bn (£1.2bn) through an additional contingent cash consideration of $300m (£235m) based on performance thresholds.
Authentic plans to convert Champion into a licensed model and is in discussions with potential operators to manage the manufacturing, physical retail, ecommerce and wholesale operations of the business.
Jamie Salter, chairman and CEO of Authentic, said: “Over the last few years, the addition of new brands together with the expansion of live events has grown Authentic into a world leading sports and entertainment licensing company. Bringing Champion into the fold further expands our position in this space.”
Bill Simon, chairman of HanesBrands, said: “Following a thorough review of options for the global Champion business, we are pleased to have reached this agreement with Authentic Brands Group that we believe maximises value for Champion and best positions HanesBrands for long-term success.”
The acquisition of Champion is expected to complete in the second half of 2024, subject to regulatory approval.
