In a press release issued by Hanes, chairman and chief executive officer, Richard A. Noll said, “Maidenform has great brands that consumers trust. Combining the complementary strengths of both companies creates a lot of growth opportunities.”
According to the release, the acquisition is expected to create growth and cost savings opportunities and increased scale to serve retailers. Maidenform, according to the release, sources all of its products from third-party manufacturers, while Hanes has company-owned global manufacturing supplemented by third-party manufacturing.
“Hanes expects to leverage its low-cost supply chain to maximize the value of Maidenform to retailers and consumers,” the release said.
Since both brands sell similar products, the acquisition will combine both portfolios and allow for the introduction of new products, according to the release.
The release states that the acquisition is expected to be finalized at the end of the fourth quarter, and would give the Hanes brand projected annual revenue of more than $5 billion.