Gildan Activewear buying hosiery company Doris Inc. for $110 million

MONTREAL – Gildan Activewear Inc. says it’s buying Canadian hosiery company Doris Inc. for $110 million, positioning it to make headway with women who buy hosiery and underwear.

Montreal-headquartered Doris is the third-largest marketer of hosiery in North America and a market leader in Canada with brands such as Secret, Silks and therapeutic socks, TherapyPlus.

Gildan, also in Montreal, says the acquisition gives it a platform for the retail distribution of its Gildan and Gold Toe brands in Canada, and broadens its retail distribution network in the United States due to Doris’strong presence in the food and drug stores.

Revenues in the U.S. account for close to 30 per cent of Doris’ total sales.

Gildan (TSX:GIL) makes socks, underwear and t-shirts and has most of its most manufacturing facilities in Central America and the Caribbean.

A recent report by Desjardins Capital Markets said an acquisition in women’s underwear by Gildan would be complementary to its offerings, noting that its sales mix is lower in women’s underwear and activewear in department stores and national retailers.