- Prachi Singh |
HanesBrands has completed the acquisition of Bras N Things, a specialty retailer and online seller of intimate apparel in Australia, New Zealand and South Africa. The company said, Bras N Things, which had net sales of approximately 180 million Australian dollars (144 million dollars) in 2017, will be managed as part of the Hanes Australasia business, which also includes the Bonds basic apparel and underwear brand and Berlei bras.
“We are very excited to add Bras N Things to our strong Hanes Australasia business unit,” said Hanes Chief Executive Officer Gerald W. Evans Jr. in a statement, adding, “With its highly effective 100 percent consumer-direct business model and strong millennial following, Bras N Things is a strategic and complementary addition to our business portfolio.”
The all-cash transaction, HanesBrands added, valued at 500 million Australian dollars (around 400 million dollars) on an enterprise-value basis closed February 12, 2018 and the purchase price is approximately 10 times 2017 EBITDA and is expected to be less than 8 times EBITDA after cost and revenue synergies. The acquisition is expected to be accretive to earnings in 2018.
Bras N Things CEO George Wahby will continue to run the business and will join the Hanes Australasia management team led by President and Managing Director David Bortolussi. The company operates 154 stores in Australia, 10 stores in New Zealand and seven stores in South Africa and has an online e-commerce platform. Hanes believes the Bras N Things business model has the potential to be expanded to additional geographies.
Picture:Bras N Things website