Alo Yoga's parent company places bid on American Apparel

As American Apparel continues down the route of its second bankruptcy filing, there is quite a bit of uncertainty following the retailer’s future plans. Recently, activewear apparel brand Alo Yoga’s parent company has come out as a major bidder to help save the company.

It seems that it is now a battle between two major activewear companies vying for American Apparel. Following Gildan Activewear Inc.’s bid of 66 million dollars, Color Image Apparel Inc. has been confirmed now as a second bidder for American Apparel, as reported by WWD. As the parent company of Alo Yoga, Color Image Apparel has put out an offer for the Los Angeles basics retailer, although no numbers have been publicly disclosed. Depending on the details of the deal, the new bid could outweigh Gildan Activewear’s original offer.

According to WWD, Color Image’s main focus is on American Apparel’s manufacturing side of the business. Because of the company’s already established presence in Los Angeles, adding these distributions would add growth and exposure to the company’s brands. As the bid is still new, it remains to be seen who will eventually win out over this battle.