Shein to acquire Everlane in $100m deal
Chinese fast fashion retailer Shein is set to snap up direct-to-consumer US clothing brand Everlane from American private equity and investment firm L Catterton for around $100 million (£74.8 million), according to media reports.
Headquartered in San Francisco, Everlane was founded in 2010 by Michael Preysman and Jesse Farmer with sustainability and “radical transparency” at its core, in stark contrast to how Shein is largely viewed.
However, Everlane has suffered from a prolonged period of financial strain and mounting debt, despite a $25 million loan from Gordon Brothers, the US investment firm that acquired LK Bennett in January 2026.
L Catterton, which is backed by LVMH and the Arnault family and counts A.P.C., Birkenstock, Etro, Ganni and Kapital in its consumer-focused portfolio, initially acquired a minority stake in Everlane in late 2020, a move that coincided with the departure of founder Michael Preysman.
Earlier this month, Shein accused rival Temu of copyright infringement “on an industrial scale”, with Temu countering the claim in a trial at the High Court in London.
The trial is part of a global legal battle between the two Chinese retailers, with previous trials in the US, according to Reuters.
Shein has alleged that Temu used thousands of its photos to advertise copies of its in-house clothing brand, thereby “piggybacking” on its meteoric growth.
Specifically, Shein claims that Temu allowed its third-party merchants to use more than 2,300 images from its website to promote close copies of its in-house clothing brand. It argued that Temu should not be treated solely as a passive intermediary but instead as actively enabling sellers to use Shein's photography.
