Global brand development and marketing platform Authentic Brands Group has partnered with online fashion and lifestyle retailer Shein on a co-branded Forever 21 brand collection.

As part of the long-term agreement, Shein will design, manufacture and sell apparel and accessories for the Forever 21 x SHEIN line.

The co-branded collection will use the on-demand production model of Shein to lower inventory waste.

Products from this line will exclusively be sold online on shein.com and through other Shein-branded retail and digital channels.

The items will be available in the US, Australia and parts of Europe.

The strategic partnership comes after Shein acquired approximately a one-third interest in the core operating partner of Forever 21 in the US, SPARC Group (SPARC). SPARC is a joint venture between Authentic and Simon Property.

Earlier this month, Shein also hosted its first pop-up within a Forever 21 at Ontario Mills shopping centre.

Authentic founder, chairman and CEO Jamie Salter said: "Shein's innovative approach to engaging with consumers gives them the ability to deliver trends at speed. With an evolving retail landscape, where digital interaction has become the cornerstone of e-commerce, Shein has led the way in redefining how brands connect with consumers.

"We are excited to partner with Shein, as this collaboration perfectly fits into our distribution strategy for the brand's new key markets."

Last month, Shein reportedly held talks with UK-based retail company Frasers Group to acquire the online fashion brand Missguided.