Bankruptcy court approves Gildan’s US$88-million purchase of American Apparel
MONTREAL — Gildan Activewear’s US$88-million purchase of California-based clothing company American Apparel was approved Thursday by a U.S. Bankruptcy Court judge.
The Montreal-based company won an auction Monday to acquire American Apparel’s intellectual property rights and some manufacturing equipment from the L.A. facilities, but not the leases for the manufacturing or distribution centres.
It also doesn’t include American Apparel’s stores and e-commerce site, which will continue to have access to a limited licence for 100 days.
The deal is expected to close early next month.