Gildan to acquire apparel division of Ennis

Alstyle manufactures and distributes t-shirts and fleece. Its assets include large-scale textile manufacturing facility and cut-and-sew facilities in Mexico, as well as distribution centres located in the United States, Canada and Mexico.

The acquisition is expected to complement Gildan's position in western US, to enhance its market position in Mexican printwear and retail sector and to take advantage of trade agreements with South America. Additionally, Gildan will also be benefitted in logistics and input costs.

The transaction, subject to customary closing conditions, is expected to close by June 2016.

Gildan is expected to reap benefits from this acquisition by 2017 and 2018. (MCJ)

Fibre2Fashion News Desk - India