In a significant business move, Authentic Brands Group (ABG) has acquired the iconic athleticwear brand Champion for $1.2 billion (£899 million).
- The acquisition from HanesBrands was first announced in June and has now been finalised.
- This marks ABG’s second-largest acquisition following the purchase of Reebok from Adidas for €2.1 billion (£1.8 billion).
- Champion’s core operations in the US and Canada will be managed by AMG Companies, with GearCo handling the collegiate clothing business.
- Future expansions are anticipated in Europe, Asia, and Australia with new partnerships on the horizon.
Authentic Brands Group (ABG) has successfully completed its acquisition of the well-known sportswear brand, Champion, in a deal valued at $1.2 billion (£899 million). This development follows an earlier announcement made in June regarding the intent to purchase Champion from its previous owner, HanesBrands. Champion is regarded as a giant in the sportswear sector, generating nearly $3 billion (£2.25 billion) in global retail sales annually. This acquisition is ABG’s second-largest, with the previous significant acquisition being Reebok from Adidas, acquired for €2.1 billion (£1.8 billion) in 2022.
The management of Champion’s business operations in the United States and Canada will fall under AMG Companies, which has been a long-standing partner of ABG. Furthermore, the collegiate clothing segment of Champion in the United States will be managed by GearCo, under a new license operated by investment firm Ames Watson. This strategic move ensures specialised management across different geographical and product segments.
In addition to the changes in management within the United States, other strategic partnerships have been established across North, Central, and South America. BBC International has been appointed to oversee footwear, while Gildan will manage the printwear segment. In Central and South America, the Falic Group has been named as the primary partner for clothing and accessories. Meanwhile, operations in Mexico will be directed by the IB Group, ensuring regional expertise and market influence.
Authentic Brands Group’s CEO, Jamie Salter, emphasised the historical significance and quality of Champion, stating: ‘Champion has set the standard for quality and innovation for over a century. With the strong backing of our partners at GearCo, BBC, and AMG Companies, we’re in a prime position to accelerate Champion’s growth globally. Together, we’ll honour its rich heritage while driving innovation and expanding its reach to new markets and consumers.’
Looking ahead, Authentic Brands Group is poised to announce further expansions into new territories and categories. These plans include potential collaborations and developments across Europe, Asia, and Australia, promising to broaden Champion’s market presence and leverage new opportunities for growth.
The acquisition of Champion by Authentic Brands Group marks a pivotal expansion in its global portfolio, paving the way for future growth and innovation.
