Los Angeles-based retailer/clothing manufacturer American Apparel was sold to Canadian underwear maker Gildan Activewear for $88 million at auction, according to Bloomberg. Gildan had made an initial stalking horse bid of $66 million back in November when American Apparel filed Chapter 11 for the second time in a year.

Encina Business Credit had provided $30 million in DIP financing for the company.

This transaction doesn’t include American Apparel’s stores, and the fate of its garment workers in Los Angeles remains in doubt. The company had 4,700 employees and 110 stores as of November.

Follow the story:
Encina $30MM DIP Facility to American Apparel Approved by Court
American Apparel Plan Confirmed by Court; Lenders Become Owners
American Apparel Files Chapter 11, Lenders to Provide $90MM DIP