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Hanesbrands stock surges, as potential sale of Champion business is being considered

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Shares of Hanesbrands Inc. jumped 2.2% in premarket trading Tuesday, after the clothes and underwear seller said it is considering a broad range of...

Shares of Hanesbrands Inc. HBI, -3.67% jumped 2.2% in premarket trading Tuesday, after the clothes and underwear seller said it is considering a broad range of alternatives for its Champion athletic-apparel business, including a potential sale. The company said it has not set a timetable to complete its review of alternatives, and there is no assurance that the review will result in any transaction.

“In recent years, the executive leadership team has implemented significant structural improvements within Champion that have resulted in greater distinction between the company’s innerwear and activewear businesses,” said Chairman Ronald Nelson. “With this in mind, and after careful consideration, we have commenced a comprehensive review of strategic options for the global Champion business.” The stock has tumbled 29.9% year to date through Monday, while the S&P 500 SPX, +0.

 

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