The unthinkable just happened. Everlane, once the darling of sustainable fashion, the brand that dared to defy fast fashion’s relentless churn, is now under the wing of its polar opposite: China’s Shein. Yes, that Shein.
A recent letter to Everlane employees from CEO Alfred Chang, obtained by the Associated Press on Friday, spilled the beans. The acquisition? Confirmed. Financial terms? Kept strictly under wraps, naturally. Shein, for its part, offered no comment. Not a peep.
Everlane launched in 2011. Michael Preysman and Jesse Farmer started it with a noble goal: eco-friendly, affordable clothes. They trumpeted regular audits, transparent working conditions, a commitment to the planet. It was a refreshing counter-narrative. Their first brick-and-mortar store opened in 2017, a testament to their apparent success.
But the halo has slipped. Reports surfaced. Talk of worker treatment controversies began to dog the company in recent years. Not quite the pristine image they cultivated, was it?
Private equity firm L Catterton, with stakes in brands like Birkenstock, began snapping up significant chunks of Everlane back in 2020, eventually becoming the majority owner. Preysman himself stepped down in 2022. The writing, perhaps, was already on the wall.
Chang, who only took the CEO reins in 2024, tried to spin it positively. “Like many brands, we’ve faced increasing pressure in a rapidly changing retail landscape,” he wrote. He stressed independence. Resources. A bigger impact. No compromise on quality. Yet, the irony hung heavy in the air. This partnership, with Shein, of all companies.
This partnership allows us to remain independent, and gives us the stability and resources to make a larger impact, without compromising on the quality and standards that make Everlane, Everlane.
He insisted Everlane would invest more, innovate more, staff up. And those “sustainability” commitments? Still sacred, apparently. Chang even affirmed his leadership team would stay put. A brave face, indeed.
The cold hard truth? Everlane was bleeding. Sales plummeted. Debt soared. Neil Saunders, managing director of GlobalData Retail, paints a grim picture. This deal? Pure survival. Shein, with its deep pockets, offers a lifeline. A financial shot in the arm.
For Shein, it's a strategic move. A push beyond its fast-fashion core. Growth in that hyper-competitive sector is slowing. Tariffs, trade restrictions under the Trump administration, they've all complicated the flow of cheap imports. So, diversification. A new image, perhaps?
Saunders summed it up perfectly: "Everlane and Shein are an odd couple." You don't say. While Shein might not overhaul Everlane's entire supply chain, merely being associated with the behemoth could "jar" its loyal, ethically-minded customers. A jarring indeed.
The deal likely saves Everlane from the brink. But at what cost? A brand built on transparency and ethics now finds itself tethered to the very industry it sought to disrupt, an industry synonymous with opacity and speed over all else. The future of Everlane's soul remains an open question.
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