Everlane acquired by Shein for $100 million, report says
7 reported
According to a report by fashion editor Lauren Sherman of Puck, eco-conscious apparel brand Everlane has been acquired by Chinese fast-fashion conglomerate Shein for $100 million. The deal, which was approved by Everlane’s board, sparked online outrage from consumers who viewed Shein as the antithesis of Everlane’s values of transparency and ethical manufacturing. Sherman discussed the acquisition on the podcast Today, Explained, noting that Everlane had been struggling for years after raising money and making strategic product changes that did not align with consumer shifts. She also highlighted that other millennial-coded brands, including Glossier and Allbirds, have faced similar challenges. Sherman expressed skepticism about Everlane’s chances for a comeback, estimating a 2 percent chance, while giving Glossier a better outlook and Allbirds a 0 percent chance.
What’s reported
Everlane was acquired by Shein for $100 million, according to a report by Lauren Sherman of Puck.
The deal was approved by Everlane’s board.
Online outrage followed the news, with consumers upset that Everlane sold to a company seen as lacking transparency.
Everlane had sold a majority stake to a private equity firm prior to the Shein deal.
Sherman said Everlane made strategic product changes around 2018-2019 that did not align with consumer transformation.
Other struggling millennial brands mentioned include Glossier and Allbirds.
Sherman estimated a 2 percent chance of a comeback for Everlane, 0 percent for Allbirds, and a potential recovery for Glossier.
Key figures
Lauren Sherman: fashion editor at Puck, broke the Everlane news.
Noel King: co-host of Today, Explained.
Sources: vox.com
