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The e-commerce company SHEIN acquired Everlane from its private equity owner for a reported $100 million.
SHEIN informed investors in November 2023 that it expects to generate $2 billion in net income in 2025, nearly double its 2024 earnings.
Amanda Mull theorizes that SHEIN acquired Everlane to compete with Quince by applying its logistics system to a brand that targets higher-income, materials-conscious consumers.
Quince was valued at $10 billion in a recent venture funding round, nearly double its valuation from the previous year.
The clothing company Everlane is laden with debt and struggling to connect with customers.
As of 2022, SHEIN released approximately 1,000 new women's clothing styles every day.
SHEIN has faced scrutiny over the labor conditions of its suppliers.
Michael Preysman, co-founder of Everlane, stepped down as CEO in 2021 and left the company's board in January 2026.
Michael Preysman, co-founder of Everlane, believes the company had lost its way in the past few years prior to its sale.
Amanda Mull asserts that the COVID-19 pandemic negatively impacted Everlane's sales because its target market of remote workers no longer needed office attire.
In 2020, Everlane took on a private equity investor backed by LVMH and secured loans to finance its growth.
Amanda Mull characterizes SHEIN's business model as being based on logistics optimization to create margin and lower prices, rather than on design or brand identity.