Gildan Is Said to Near Deal for Underwear Maker Hanesbrands (2)

Gildan Activewear Inc. is in advanced talks to buy US underwear maker Hanesbrands Inc., people familiar with the matter said, in what would be its largest ever acquisition.

Canada-based Gildan is considering a cash and stock offer for Hanesbrands that would be equivalent to roughly $6 a share, the people said, That would value Hanesbrands at nearly $4.5 billion including debt, according to data compiled by Bloomberg.

The transaction could create synergies of about $200 million or more, the people said, asking not to be identified discussing confidential information. It would be about 20% accretive to Gildan’s earnings, one ...