WINSTON-SALEM, N.C.--(BUSINESS WIRE)--Feb. 13, 2018--
HanesBrands (NYSE: HBI), a leading worldwide marketer of underwear,
intimate apparel and activewear, today announced that it has completed
the acquisition of Bras N Things, a leading specialty retailer and
online seller of intimate apparel in Australia, New Zealand and South
Africa.
Bras N Things, which had net sales of approximately A$180 million
(US$144 million) in 2017, will be managed as part of the Hanes
Australasia business, which also includes the iconic Bonds basic
apparel and underwear brand and Berlei bras.
Hanes Australasia now holds the No. 1 market positions in Australia for
bras, sports bras, panties, socks, babywear and men’s underwear. Bras N
Things sells proprietary bras, panties and lingerie sets through a
retail network of approximately 170 stores and a fast-growing ecommerce
platform (www.brasNthings.com).
“We are very excited to add Bras N Things to our strong Hanes
Australasia business unit,” said Hanes Chief Executive Officer Gerald W.
Evans Jr. “With its highly effective 100 percent consumer-direct
business model and strong millennial following, Bras N Things is a
strategic and complementary addition to our business portfolio. In
addition, we are adding seasoned management depth to our already
outstanding Hanes Australasia management team.”
The all-cash transaction valued at A$500 million (approximately US$400
million) on an enterprise-value basis closed Feb. 12, 2018. The purchase
price is approximately 10 times 2017 EBITDA and is expected to be less
than 8 times EBITDA after cost and revenue synergies. The acquisition is
expected to be accretive to earnings in 2018.
Bras N Things attracts millennial consumers with on-target core products
supplemented by seasonal product offerings. Bras N Things CEO George
Wahby will continue to run the business and will join the Hanes
Australasia management team led by President and Managing Director David
Bortolussi.
Bras N Things operates 154 stores in Australia, 10 stores in New Zealand
and 7 stores in South Africa and has a growing online e-commerce
platform. Hanes believes the Bras N Things business model has the
potential to be expanded to additional geographies.
Hanes created its Hanes Australasia business unit with the acquisition
of Pacific Brands in 2016. The acquisition featured Bonds,
Australia’s top brand of underwear, babywear and socks, and Berlei, the
country’s No. 1 sports bra brand and leading seller of premium bras in
department stores. Hanes Australasia also sells Bonds basic
apparel, Playtex intimate apparel and Champion activewear
in Australia.
Hanes supports its commercial business units around the world with the
company’s global low-cost supply chain and manufacturing network, which
primarily consists of company-owned and operated production facilities.
Hanes has made nine commercial acquisitions in the past eight years. The
company now holds the No. 1 or No. 2 market share position for
underwear, intimate apparel or hosiery in a dozen countries, including
the United States, Australia, France, Japan, Canada, Germany, Italy,
Mexico, Spain, Brazil, South Africa, and New Zealand.
Cautionary Statement Concerning Forward-Looking Statements
This press release contains certain forward-looking statements, as
defined under U.S. federal securities laws, with respect to statements
about the company’s acquisition of Bras N Things and the expected impact
on our financial results. These forward-looking statements are based on
our current intent, beliefs, plans and expectations. Readers are
cautioned not to place any undue reliance on any forward-looking
statements. Forward-looking statements necessarily involve risks and
uncertainties, many of which are outside of our control, that could
cause actual results to differ materially from such statements and from
our historical results and experience. These risks and uncertainties
include such things as: the highly competitive and evolving nature of
the industry in which we compete; the rapidly changing retail
environment; any inadequacy, interruption, integration failure or
security failure with respect to our information technology; the impact
of significant fluctuations and volatility in various input costs, such
as cotton and oil-related materials, utilities, freight and wages; our
ability to properly manage strategic projects; significant fluctuations
in foreign exchange rates; our ability to attract and retain a senior
management team with the core competencies needed to support our growth
in global markets; legal, regulatory, political and economic risks
related to our international operations; our ability to successfully
integrate acquired businesses; our reliance on a relatively small number
of customers for a significant portion of our sales; and other risks
identified from time to time in our most recent Securities and Exchange
Commission reports, including our annual report on Form 10-K and
quarterly reports on Form 10-Q. Since it is not possible to predict or
identify all of the risks, uncertainties and other factors that may
affect future results, the above list should not be considered a
complete list. Any forward-looking statement speaks only as of the date
on which such statement is made, and HanesBrands undertakes no
obligation to update or revise any forward-looking statement, whether as
a result of new information, future events or otherwise, other than as
required by law.
HanesBrands
HanesBrands, based in Winston-Salem, N.C., is a socially responsible
leading marketer of everyday basic innerwear and activewear apparel in
the Americas, Europe, Australia and Asia-Pacific. The company sells its
products under some of the world’s strongest apparel brands, including Hanes,
Champion, Maidenform, DIM, Bali, Playtex,
Bonds, JMS/Just My Size, Nur Die/Nur Der, L’eggs, Lovable,
Wonderbra, Bras N Things, Berlei, Alternative, and Gear for
Sports. The company sells T-shirts, bras, panties, shapewear,
underwear, socks, hosiery, and activewear produced in the company’s
low-cost global supply chain. A member of the S&P 500 stock index, Hanes
has approximately 68,000 employees in more than 40 countries and is
ranked No. 432 on the Fortune 500 list of America’s largest companies by
sales. Hanes takes pride in its strong reputation for ethical business
practices. The company is the only apparel producer to ever be honored
by the Great Place to Work Institute for its workplace practices in
Central America and the Caribbean, and is ranked No. 110 on the Forbes
magazine list of America’s Best Large Employers. For eight consecutive
years, Hanes has won the U.S. Environmental Protection Agency Energy
Star sustained excellence/partner of the year award – the only apparel
company to earn sustained excellence honors. The company ranks No. 194
on Newsweek magazine’s green list of 500 largest U.S. companies for
environmental achievement. More information about the company and its
corporate social responsibility initiatives, including environmental,
social compliance and community improvement achievements, may be found
at www.Hanes.com/corporate.
Connect with HanesBrands via social media on Twitter (@hanesbrands)
and Facebook (www.facebook.com/hanesbrandsinc).
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Source: HanesBrands
HanesBrands
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Matt Hall, 336-519-3386
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