The Canadian garment company said the acquisition will expand its scale and strengthen its global positioning.

Canada-based Gildan Activewear will purchase HanesBrands in a $2.2 billion deal that will transfer ownership of popular name brands like Hanes and Maidenform.

In a major move to consolidate the basic side of the apparel industry, Gildan Activewear Inc. has agreed to buy HanesBrands Inc. in a cash and stock deal that values the innerwear giant stock at $2.2 billion.