Gildan Activewear Inc. completed its two-for-one share split.
On March 27, 2015, each shareholder of record of the company at the close of business on March 20, 2015 received one additional common share for each common share owned. As a result of the completion of the two-for-one share split, the number of outstanding common shares of the company has doubled to approximately 242 million.
For Canadian income tax purposes, the aggregate amount of the share dividend is nominal. Accordingly, there will be no Canadian income tax payable by the shareholders with respect to the share dividend. In addition, there will be no unfavorable U.S. federal income tax consequences for shareholders.
Also, the share dividend will not dilute shareholders equity. All share and per share data will be adjusted to reflect the share split. In addition, the company's equity-based compensation plan as well as the company's current common shares repurchase program will be adjusted to reflect the share split.
Gildan is a leading supplier of quality branded basic family apparel, including T-shirts, fleece, sport shirts, underwear, socks, hosiery and shapewear. In addition to manufacturing for select leading global athletic and lifestyle consumer brands, the company sells its products under a diversified portfolio of company-owned brands, including the Gildan and Gold Toe brands and brand extensions, as well as the Anvil, Comfort Colors, Secret, Silks and Therapy Plus brands.
The company also has the U.S. sock license for Under Armour, and licenses for Mossy Oak and New Balance brands. The company distributes its products in printwear markets in the U.S. and Canada, as well as in Europe, Asia Pacific and Latin America. The company also markets its products to a broad spectrum of retailers in the U.S. and Canada.
