Shein has struck a deal with Sparc Group Holding, a collaboration between JCPenney owner Simon Property and the Authentic Brands Group, in which it will acquire a one-third interest in Sparc, which itself takes a minority interest in Shein.
For now, the collaboration will focus on joining Shein’s e-commerce expertise and global reach to provide Sparc a platform to further grow its brands, the companies stated in a joint announcement. They expect the deal to initially expand Sparc Group’s distribution of Forever 21, adding value and variety to Shein’s extensive customer base. Shein’s global e-commerce platform serves 150 million online users so the partnership also offers the opportunity to test the company’s customer-focused experiences in Forever 21 locations across the U.S. including through shop-in-shops, return to store and other initiatives.
Together, Shein and Sparc plan to utilize their complementary platforms and expertise to accelerate product innovation, explore new business strategies, enhance customer experiences and grow their presence in the marketplace.
“We are excited for the partnership with Shein as it reflects our shared vision of providing customers with unparalleled access to fashion at affordable prices,” said Marc Miller, CEO of the Sparc Group. “By working together, we will provide even more innovative and trendsetting products to fashion enthusiasts around the world.”
Donald Tang, Shein’s executive chairman, added. “Shein is thrilled to have Sparc Group as a partner and minority shareholder, and we look forward to finding new ways to delight our customers through the potential of this partnership. The powerful combination of Simon’s leadership in physical retail, Authentic’s brand development expertise, and Shein’s on-demand model will help us drive scalable growth and together make fashion more accessible to all.”
