07:11 AM EDT, 08/13/2025 (MT Newswires) -- Gildan Activewear ( GIL ) and Hanesbrands ( HBI ) said Wednesday they have signed a definitive merger agreement under which Gildan will acquire Hanesbrands ( HBI ).

The deal implies an equity value of about $2.2 billion and an enterprise value of $4.4 billion for HanesBrands ( HBI ), based on Gildan's Monday closing price, the companies said Wednesday.

Under the terms of the deal, HanesBrands ( HBI ) shareholders will receive 0.102 common share of Gildan and $0.80 in cash for each HanesBrands ( HBI ) common share.

Closing of the board-approved deal is expected in late 2025 or early 2026, subject to HanesBrands ( HBI ) shareholder approval and other conditions.

Gildan said it continues to expect 2025 adjusted earnings per share of $3.40 to $3.56. Analysts polled by FactSet are looking for $3.48. The company said it continues to expect full-year revenue to be up mid-single digits.

Hanesbrands ( HBI ) shares were down 7.2% in recent premarket activity, while Gildan fell 1%.