In a major move to consolidate the basic side of the apparel industry, Gildan Activewear Inc. has agreed to buy HanesBrands Inc. in a cash and stock deal that values the innerwear giant stock at $2.2 billion.

Gildan Activewear acquires Hanesbrands in a $2.2B deal, aiming for $200M annual synergies. Read here for more details on the acquisition rationale.

We’ll be bringing together Gildan’s leadership in activewear with Hanes leading innerwear retail presence and expertise,” said Chamandy. “The combination will enhance our go-to-market capabilities and our continued growth in all channels.