Aug 12 (Reuters) - Canada's Gildan Activewear is nearing a deal to acquire Hanesbrands, which could value the U.S. innerwear-maker at about $5 billion including debt, the Financial Times reported on Tuesday, citing people familiar with the matter.

The talks are at an advanced stage and a deal could be agreed by the end of the week, the people said, but cautioned that an acquisition may not be finalised.

Gildan Activewear and Hanesbrands did not immediately respond to requests for comment. Reuters could not immediately verify the FT report.

Hanesbrands had a market capitalization of $1.71 billion as of Monday's close, while Gildan's market value stood at about C$10.50 billion ($7.62 billion), according to LSEG data.

The maker of Hanes and Bonds innerwear has seen its shares fall by more than 40% so far this year. The company previously said that 75% of its sales have been impacted by U.S. tariffs.

However, Hanesbrands last week beat market estimates for profit and revenue in the second quarter and raised its annual forecast, citing higher cost savings. Its shares have risen about 15% since then.

Hanesbrands sold its sportswear brand Champion to Authentic Brands Group in a $1.2 billion deal last year, as the company looked to streamline its business and focus on its innerwear segment.

Gildan is known for making high-quality apparel, including T-shirts, hoodies, and socks, widely used for customization and wholesale.

Last year, its entire board of directors resigned, with Vince Tyra stepping down as president and CEO.

($1 = 1.3772 Canadian dollars)