Shein to Acquire Sustainable Apparel Brand Everlane for $100 Million

Chinese fast‑fashion giant Shein is reported to be buying U.S. apparel retailer Everlane in a deal valued at roughly $100 million (about €86 million). The transaction was approved by Everlane’s board and its majority owner, private‑equity firm L Catterton, after the brand struggled with about $90 million of debt. Holders of Everlane’s common stock will not receive a payout, and it remains unclear whether preferred shareholders will be compensated with cash or Shein shares.

Everlane, founded in 2011 in San Francisco, built its reputation on “radical transparency” and sustainable, low‑impact clothing, gaining a high‑profile fan in Meghan Markle. The acquisition comes as Shein faces rising U.S. tariffs and seeks to diversify its revenue beyond low‑cost fast fashion. Industry observers note the cultural clash between Everlane’s ethical positioning and Shein’s ultra‑fast‑fashion model, and anticipate consumer backlash.

The deal, if confirmed, would give Shein access to Everlane’s direct‑to‑consumer distribution and sustainability branding while providing Everlane with the financial stability needed to address its debt burden.