Authentic Brands confirms Champion acquistion

Authentic Brands Group confirmed on Wednesday the acquisition of the Champion Athleticwear brand from HanesBrands, following reports of the deal in April.

Financial terms of the deal were not disclosed.

The New York-based management group the deal demonstrates a commitment to expanding its portfolio of sports, lifestyle, entertainment and media brands and will increase its system-wide annual retail sales to more than $32 billion worldwide.

Authentic said it plans to leverage its platform of consumer verticals and expertise in brand-building to convert the Champion business into a licensed model. The company is in discussions with several existing and potential operators in key regions to manage the manufacturing, physical retail, e-commerce and wholesale operations of the business and maintain the brand’s global footprint, according to a press release.
 
“We are excited to acquire Champion, a brand that shares our pioneering spirit,” ​said Jamie Salter, chairman and chief executive officer of Authentic.

“Over the last few years, the addition of new brands together with the expansion of live events has grown Authentic into a world leading sports and entertainment licensing company. Bringing Champion into the fold further expands our position in this space.”
 
Founded in 1919, Champion has evolved into mainstay global athletic wear. Known for its iconic “C” logo, it currently operates in more than 90 countries, with more than 40% of its business hailing from outside North America. 

Former parent HanesBrands confirmed plans to offload Champion last September, as part of its broader strategy to adapt and position all its brands, encompassing innerwear and activewear, for long-term success.

Despite Champion facing challenges such as declining sales and a decrease in collaborations, the sportswear brand garnered interest from various potential buyers, including Delta Galil, G-III Apparel, Sycamore Partners, and WHP Global. Hanesbrands had initially set the asking price for Champion at $1.4 billion. However, it was reported in April that Authentic had snapped up the brand for a mere $1 billion.