Shein Acquires Everlane For $100 Million Amid Financial Struggles

Everlane, the once high-flying millennial DTC basics brand built on “radical transparency” and sustainability, is being sold by majority owner L Catterton to Shein in a deal valuing the company at about $100 million, with the board approving the transaction and common shareholders receiving no payout. The sale comes after a years-long slump and roughly $90 million in debt tied to a $25 million Gordon Brothers loan and a $65 million asset-based credit line that L Catterton had been trying to refinance or offload. Everlane’s current CEO Alfred Chang had been leading efforts to find fresh capital, while founder Michael Preysman and early marketing partner Alexandra Spunt previously exited after L Catterton took over management. The deal marks a stark turn for a brand that once positioned itself as a more ethical alternative to fast fashion, now set to sit under one of the industry’s most aggressive ultra-fast fashion players. VALUATION: $100,000,000 HQ: San Francisco, California #VentureCapital #Everlane #Shein #TradedVC