Shein's Everlane Acquisition Faces US National Security Review
U.S. authorities are reviewing Shein Global Holdings' proposed purchase of American apparel brand Everlane. This inquiry was initiated following Shein's request for approval, with oversight from the Committee on Foreign Investment in the United States (Cfius), directed by the Treasury Department. Valued at $80 million, the acquisition faces increasing scrutiny amid concerns regarding foreign investment in the U.S. market, particularly as Shein, originally founded in China, expands its operations. Sources indicate that the review commenced immediately after Shein submitted its acquisition proposal.
Key facts
- US authorities are reviewing Shein's acquisition of Everlane for national security concerns.
- The review is conducted by Cfius, an inter-agency panel led by the Treasury Department.
- The review began after Shein sought approval for the deal.
- The deal is valued at US$80 million.
- This is part of a growing list of regulatory hurdles for Shein in the US.
- Shein is a China-founded fast-fashion giant.
- Everlane is an American clothing retailer.
- The review was reported by people familiar with the matter.
Entities
Institutions
- Shein Global Holdings
- Everlane
- Committee on Foreign Investment in the US (Cfius)
- Treasury Department
Locations
- United States
- China