The business landscape of Winston-Salem is shifting once again. Canadian apparel giant Gildan has announced its acquisition of HanesBrands Inc., one of the city’s last remaining major corporate headquarters, in a deal that could reshape the local economy.
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The Deal at a Glance
Gildan is purchasing HanesBrands for $2.2 billion, though the company’s total valuation including debt reaches $4.4 billion. The acquisition brings together household names you likely have in your closet right now, creating a merged entity that will operate under the Gildan name while preserving individual product brands.
Both companies exceeded expectations in their most recent quarterly reports, but HanesBrands has faced challenges over the past several years, making this acquisition a strategic lifeline.
What This Means for Jobs and Operations
The big question on everyone’s mind: what happens to local employment? While specifics remain unclear, there’s potential for cost-saving measures as the companies work to streamline their supply chains. According to a HanesBrands spokesperson, the merger won’t impact their product brands, but operational changes are likely inevitable.
Dr. Zagros Madjd-Sadjadi, an economics professor at Winston-Salem State University, suggests that management synergies are probable, even if headquarters operations remain local. However, he notes that HanesBrands losing its independence represents another significant shift for the region.
The Broader Economic Picture
This acquisition is more than just a business transaction—it’s symbolic of Winston-Salem’s economic transformation. The city has already lost several major corporate champions that once defined its identity:
“Losing that is a blow to our pride,” Madjd-Sadjadi explains. “There is a certain emphasis or some idea that perhaps we are not as competitive in terms of headquarter count as we used to be.”
Strategic Motivations Behind the Merger
Why is Gildan, based in Montreal, making this move? The acquisition appears partially motivated by international trade tensions. With stakes in American brands like Under Armour and New Balance, Gildan may be positioning itself to navigate trade complexities more effectively.
“They may want to try to insulate themselves partly from that,” Madjd-Sadjadi suggests. “If they have all these American subsidiaries, they can strike deals to preserve some of their options.”
Winston-Salem’s Economic Pivot
While the loss of another major headquarters stings, Winston-Salem isn’t standing still. The city has pivoted toward healthcare, emphasizing academic advancements and specialized services throughout the Triad region. However, this shift comes with trade-offs—healthcare doesn’t contribute to the export economy like the manufacturing giants that once called Winston-Salem home.
Meanwhile, the eastern Triad is seeing growth with ventures like JetZero and Honda and Toyota’s battery plant, raising questions about business expansion on the western side of the Piedmont.
A Regional Approach to Growth
Madjd-Sadjadi emphasizes that future success requires regional thinking. Forsyth and Guilford counties need to view themselves as one economic powerhouse rather than competitors.
“When something benefits Guilford County, it benefits Forsyth County. When something benefits Forsyth County, it benefits Guilford County,” he explains. “But if one of us takes everything and the other is left alone, it’s going to act as an anchor on the entire economy.”
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What’s Next?
The Gildan-HanesBrands deal isn’t finalized yet. It still requires Federal Trade Commission approval and is expected to close later this year or in early 2026.
For Winston-Salem, this acquisition represents both challenge and opportunity. While the city continues to lose the manufacturing identity that once defined it, the question remains: what will replace it? The answer may determine whether Winston-Salem thrives in its next economic chapter or continues to see its major players acquired by outside interests.
As this story develops, one thing is clear—Winston-Salem’s business community must adapt, collaborate regionally, and find new ways to compete in an increasingly consolidated marketplace.
To read more about this topic, visit Gildan buying HanesBrands Inc: business impacts Winston-Salem.
