Shein acquires Missguided as Frasers Group seals JV deal

The Chinese fast-fashion e-commerce giant Shein has acquired British online fashion retailer Missguided along with its intellectual property assets and its website missguided.co.uk through its newly formed joint venture company, Shein UK, for u00a320 million. Shein UK, co-founded by Frasers Group, the parent company of Sports Direct, will see the Chinese firm take an 85% stake in the joint venture while Mike Ashley, head of Frasers Group, will hold the remaining 15%. A new management team lead by Nitin Passi, former Missguided CEO, will oversee the day-to-day operations of the online fashion company, headquartered in Manchester. This strategic partnership between Shein and Frasers Group aims to optimize Missguided’s performance by leveraging Shein’s technological expertise in supply chain and inventory management, as well as its extensive global network. The addition of Missguided’s platform and its young customer base of 18 to 35-year-olds will further expand Shein’s reach and strengthen its position in the UK market. This acquisition is expected to bolster Missguided’s financial stability and create employment opportunities, with plans to grow the company’s workforce in coming years. Furthermore, Frasers Group is set to benefit from the joint venture by optimizing the use of its infrastructure and logistics capabilities. Notably, Missguided will become the first UK brand to integrate into Shein’s global ecosystem, offering UK shoppers access to a vast selection of fashion items from both companies on a unified platform. Together, they aim to enhance the shopping experience for customers, enabling seamless transitions between brands and providing a diverse range of products at various price points. The acquisition is subject to customary conditions, including approval from relevant authorities, and is expected to be finalized in the coming weeks. Upon completion, Missguided will operate independently under Shein UK, retaining its distinct brand identity. This joint venture marks a significant step for Shein in its global expansion strategy, solidifying its commitment to the UK market and presenting new growth opportunities for Missguided..