Hanesbrands down after agreeing to $4.4 billion deal from Canada's Gildan Activewear

Shares of U.S. undergarments maker Hanesbrands HBI.N down ~5% at $5.86 premarket

Co agrees to a $4.4 billion takeover deal from Canada's Gildan Activewear GIL.TO

HBI rose as much as 40% to $6.74 in previous session, when news of the deal first emerged

Gildan's $6 per share cash-stock deal, represents a 24% premium to HBI's close on Monday and implies an equity value of $2.2 billion

Companies expect the combination to double Gildan's revenues and enhance market position by leveraging Hanes' strong brand presence in activewear

Transaction is expected to close in late 2025 or early 2026

Up to last close, HBI was down about 24% YTD