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HanesBrands Buying Maidenform For About $550M

10:18 AM, Jul 24, 2013   |    comments
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Winston-Salem -- HanesBrands is buying bra maker Maidenform Brands Inc. for approximately $547.6 million.

The deal would add brands like Maidenform, Flexees and Self Expressions garments to the Hanesbrand roster that includes Playtex, Wonderbra and its namesake Hanes.

HanesBrands will pay $23.50 per share, a 23 percent premium to Maidenform's $19.09 Tuesday closing price. The companies put the deal's value at about $575 million.

Maidenform has about 23.3 million outstanding shares, according to FactSet.

HanesBrands said Wednesday that Maidenform's average-figure bra business will complement its full-figure bra collection and that its shapewear will be a nice addition as well.

HanesBrands Inc. plans to pay for the deal with available cash and short-term borrowings on its revolving credit facility.

Both companies' boards unanimously approved the acquisition, which is expected to close in the fourth quarter. It still needs approval from Maidenform shareholders.


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