Shein Buys Everlane for Reported $100 Million as Debt Pressured Sustainable Brand
Updated
Updated · The New York Times · May 22
Shein Buys Everlane for Reported $100 Million as Debt Pressured Sustainable Brand
3 articles · Updated · The New York Times · May 22
Everlane said Friday it finalized its sale to Shein, with L Catterton exiting its majority stake in a deal Puck News reported at about $100 million.
Debt and weak performance drove the sale: analyst Neil Saunders said Everlane had been struggling and looking for a buyer, after once aiming for $1 billion in annual sales.
Alfred Chang will stay on as chief executive, and Everlane said it will remain an independent brand while keeping its sustainability commitments under Shein ownership.
The tie-up has already triggered backlash from Everlane customers, who see a sale to the ultra-fast-fashion giant as clashing with the label's climate-conscious image.
Everlane sold its ethical mission to Shein. Was 'radical transparency' just a marketing ploy all along?
Is Everlane's fall to fast-fashion proof that truly ethical brands simply cannot scale for mass-market profit?