Shein Boosts U.K. Presence With Forever 21 Partnership and Missguided Acquisition
Fast-fashion retailer Shein has made waves in the U.K. market with a series of strategic moves. Last week, it launched a co-branded line with Forever 21. Meanwhile, it acquired the U.K.-based Missguided brand, aiming to boost its market share and global reach.
Shein's expansion in the U.K. began in August when it struck a deal with Sparc Group, the operator of Forever 21. This allowed the brands to distribute each other's products through their channels. The partnership deepened with the launch of a co-branded line last week.
In a significant move, Shein acquired the Missguided brand from Frasers Group. The deal includes a licensing agreement with Missguided's founder, Nitin Passi, who will manage the brand through a joint venture called Sumwon Studios, alongside Shein. Missguided's products will be sold on both Shein and Missguided's websites.
Shein's U.K. presence is already notable, with a 1.7% market share, and it expects to grow this to 2.2% in 2023, according to GlobalData. The company disclosed $1.38 billion in U.K. revenue between September 2021 and December 2022.
Through its acquisition of Missguided and partnership with Forever 21, Shein is strengthening its foothold in the U.K. market. With its on-demand production model and global reach, Shein aims to reignite the Missguided brand and fuel its own growth. The joint venture Sumwon Studios, led by Nitin Passi and Shein, will oversee this transformation.
