Reformation Shares Fall After IPO as L Catterton Sells Everlane to Shein in 2026
Updated
Updated · Monocle · Oct 8
Reformation Shares Fall After IPO as L Catterton Sells Everlane to Shein in 2026
1 articles · Updated · Monocle · Oct 8
Summary
Reformation has traded below market expectations since its July listing, while L Catterton has exited Everlane by selling its majority stake to Shein.
Those setbacks reflect a broader unwind of fashion’s private-equity boom, as investors who once chased rapid scaling found revenues slowing in a business driven by brand identity, taste and customer loyalty.
Apax’s arc at Matches Fashion underscored the damage: it bought the retailer for about €860 million and later sold it for €60 million before Frasers Group declared it bankrupt.
The fallout is pushing founders toward slower growth and tighter control, with examples including Jamie Haller’s 450% growth without outside capital and Demellier’s 60% sales increase last year.
New capital is still entering fashion, but on longer-term terms through specialist backers such as 1686 Partners and Lauren Santo Domingo’s St Dominique Capital rather than quick-exit private equity.